Knitting needles are permitted on domestic flights within Australia (I assume you mean CNS not CSN!). I had no issues in March last year when I tried this out (nor at LHR or BKK). I took printed confirmation of the rules with me, just in case, but there were no problems (although I do use circular needles (perfect for garotting someone!), so they might not have been so obviously needles under x-ray).