Foreign Minister Penny Wong said the Israeli government's decision not to pursue criminal proceedings against those responsible for killing the Australian and her World Central Kitchen colleagues fell "far short of the accountability we expect".
"I will call in Israel's ambassador to Australia Hillel Newman and have directed Australia's ambassador to Israel to convey our views directly to Israel as the Australian government considers next steps," she said on Thursday.
Israel's military announced overnight it had completed reviews of 150 incidents of troop conduct in Gaza and made decisions on five cases, including the April 2024 attack on an aid convoy that included Ms Frankcom.
There was "no reasonable suspicion of criminal misconduct that would justify the opening of a criminal investigation", the statement reads.
Senator Wong said the government learned of Israel's decision moments before it was announced, on World Humanitarian Day, which was "especially insulting to Zomi's loved ones, humanitarians and all Australians".
"Democracies seek and accept higher standards," she said.
"The Australian government will not stop pressing Israel for justice for Zomi and her colleagues."
The World Central Kitchen convoy was marked as supplying aid when it was struck in Khan Younis, southern Gaza.
The Israeli military initially claimed the convoy was being used by Hamas, before later acknowledging it had been misidentified and admitting errors in the decision-making process before the attack.
Two Israeli officers were dismissed from their positions and three senior officers were formally reprimanded, according to the Israel Defense Forces.
In a statement, World Central Kitchen said it fundamentally disagreed with the Israeli military prosecutor's decision about a criminal investigation into the IDF airstrikes that killed its team.
"There has never been any excuse or justification for the attacks and there is nothing in this account that does so," the organisation said.
"The decision is inconsistent with the full truth and deeply offensive.
"We continue to demand an independent commission to investigate the air strikes because the IDF cannot credibly investigate its own conduct."
Opposition defence spokesman James Paterson said Ms Frankcom should never have been killed.
"It's a tragedy that she was and it is incredibly concerning to hear this news out of Israel," he told reporters in Canberra.
"I look forward to receiving a full briefing to understand why this decision was made and the nature of the decision."
Australia has requested audio of the drone strike footage on behalf of the family, and Prime Minister Anthony Albanese raised Ms Frankcom's death with Israeli President Isaac Herzog during the leader's visit in February.
A lawyer for the family of British aid worker Jim Henderson, who was also killed in the strike, said the strikes on multiple World Kitchen vehicles showed "gross negligence" by military soldiers that demanded further inquiry.
"This is a systematic annihilation of those who would help Palestinians," Henderson family lawyer Forz Khan told ABC Radio National.
