New powers allowing police to order anyone in an airport to produce identification has been criticised as an "authoritarian" step that will do little to improve Australia's counter-terrorism efforts.

Prime Minister Malcolm Turnbull conceded on Tuesday that the new powers were a significant step, but necessary for the "dangerous times" in which we live.

Prime Minister Malcolm Turnbull inspecting advanced security screening technology at Tullamarine Airport on Tuesday. Credit:Simon Schluter

Australian Federal Police will be able to ask anyone for ID, with or without reason to suspect them of wrongdoing, and eject them from an airport as part of a security overhaul that will also see the introduction of advanced bag and body scanning machines in terminals across the country.

Under existing laws, police can only demand ID if they have reasonable grounds to suspect someone is involved in criminal activity.