The ACT suspended the program in June, which left thousands of temporary migrants and international students who had moved to Canberra, ineligible to apply for permanent residency.
Under the new scheme, , nominations would be offered on merit, replacing the previous program where they were offered on a first-come-first-serve basis.
The change seeks to moderate "supply and demand throughout the year so that it meets the qualification needs of the ACT," according to the program website.
In addition, the ACT government told that the Department of Home Affairs confirmed an increase of 600 nomination places to the territory for the 2018/19 year, which was on top of the current annual base of 800 places.
"This demonstrates that the number of places we were previously allocated by the Commonwealth was inadequate and will also allow the ACT to nominate more eligible people and potentially better assist those who were impacted by the partial program closure in June 2018," a statement said.
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The changes in the ACT would require qualified immigrants to stay for a minimum of two years starting in June 2019 before they could apply for permanent residency.
However, if they had already been living in Canberra, the time would be cut to one year.
"The new merit-based system will continue to focus on occupations that are listed as ‘in-demand’ and will recognise applicants’ commitment to Canberra and their potential economic contribution," an ACT government statement said.
"The role of the ACT government in this kind of visa is as a nominator, it does not issue visas, the visas are issued by the DHA (Department of Home Affairs).
"Eligible applicants can be inside or outside the territory within the framework of this visa subclass."
Under the modified program, applicants would be required to express their interest by completing the so-called Canberra Matrix, which assesses 12 factors, including time already spent in Canberra, as well as their level of qualification and English proficiency.
Immigration agent Mr Rincon recently told SBS Spanish that the Canberra Matrix awarded points to people regardless of their occupation, but warned that it should not be confused with the existing scoring system linked to the 190 visa.
"They serve different purposes, but the important thing about this matrix is that it addresses the problems that have been there and second, it incorporates the couple as a valuable element, as an element that gives points, gives merits,” he said.
“The type of work that the couple has been doing is very important and solves the problem in a creative way.”