A coalition of groups opposed to a national nuclear waste facility being built in central Australia says it will continue to fight the proposal despite Federal Government moves to block any legal challenges.

The Government introduced legislation in Parliament this week aimed at removing the ability of the Territory Government to fight the proposed dump through the courts.

Peter Barker from Alice Action says its members will not be deterred.

"We're going to do it the old fashioned way," he said.

"We're going to keep fighting in the streets, if need be, but this campaign hasn't ended with this.

"We're going to continue to pressure this Government to make sure that they listen to Territorians and they listen to both Indigenous and non-Indigenous people that are clearly saying that they don't want this facility in their backyard."

Alice Action has scoffed at claims that Australia will be relegated to third world health status without the dump.

NT Country Liberal Party politicians Dave Tollner and Senator Nigel Scullion say Australia will be prevented from producing radiopharmaceuticals if the facility is not built in the Territory.

Mr Barker says the Government is forgetting who will be worst affected by the proposal.

"The irony of that is that the CLP forgets that the people of this country who do have third-world health status, that is Indigenous Australians, will be the ones having a radioactive waste dump imposed on them with all the associated health and environmental dangers that it comes with," he said.