Your friend needs to apply for a proper visa from the nearest Australian embassy. Be prepared to show lots of documents, and appear in a personal interview.
Does your friend travel on the US travel permit now or does he/she still use his/her original passport still?
You 'know' that you don't need a visa for Germany? Most US Travel permits do not work like US passports anymore.. so it is best to check with EACH country's consulate to be doubly sure.