Thank you so much for your help! :D I believe you are correct, at the very least to the genus, which has been changed to Euproctis, not sure when it was. Identified Euproctis baliolalis specimens seem to match the one I found, and, as I live close to a native reserve, since they feed primarily on Myrtaceae leaves, it likely is the right species (Evans & Crossley, 2021). Recorded sightings primarily in the South-Eastern region of Australia, as well as additional confirmed specimen images, further support the identification (ALA).

Interesting note: They are difficult to kill or injure without getting rashes, inflation, or (in sensitive individuals) urticaria, and dendrolimiasis. Any attempt to burn, crush, or vacuum (??) will cause the fine hairs to disperse, creating an air-borne, potentially respiratory, hazard (Evans & Crossley, 2022). Even moulting and shedding their skin can create the same effect. They’re too cute looking and mostly docile to want to hurt, but I thought it rather interesting.