It has already been in the news: Australia’s (new) Prime Minister Scott Morrison stating he is considering moving Australia’s embassy to Jerusalem, as well as considering whether to withdraw from the Iran nuclear agreement. But I prefer to hear these things from the horse’s mouth so to speak, so here ya go:
As Scott Morrison said, the idea behind the proposal came from the previous Australian ambassador to Israel, Dave Sharma. I can vouch for Dave who I have met on numerous occasions and got to know (and even played Aussie Rules football with!)

Naturally, the palestinians are pissed and have issued fresh (implied) threats. Which is always an indication that this is a good idea.
Here’s hoping Australia decides to move the embassy and are joined by more and more countries.