Canberra was tipped to become "the drug capital of Australia" after the ACT decriminalised personal use of illicit substances.
But 12 months on, safety advocates are not noticing any ill effects.
Erin Lalor, chief executive of the Alcohol and Drug Foundation, says the ongoing criminalisation of drugs elsewhere in Australia continues to do more harm than good.
"We know that the criminalisation of personal drug use continues to cause harm to individuals who come into contact with the justice system while they fail to stop all illicit drug use," she told a parliamentary inquiry into drug and alcohol harm on Monday.
Dr Lalor said the treatment system was overwhelmed and more work needed to be done to prevent alcohol and drug harm early, rather than react to it.
"We cannot continue to park an ambulance at the bottom of the cliff," she said.
"We must build better fences."
The ACT's nation-first decriminalisation laws, which marked their first anniversary on Monday, mean people caught with small quantities of illicit drugs are handed cautions, small fines and diversion programs instead of prison sentences.
Shadow attorney-general Michaelia Cash tried at the time to override the ACT legislature by introducing a private members' bill in the Senate but failed.
"The Labor-Greens government here in the ACT will roll out the red carpet to ice, heroin, cocaine, speed, acid and other drugs," she had said.
"In my very humble opinion, our nation's capital should not be our drug capital."
But the lines of cars queuing down the Federal Highway to join in the Canberra drug bonanza did not eventuate.
The Salvation Army had not seen any signs of a dramatic increase in demand on the sector in the ACT, the organisation's alcohol and other drugs services manager Tom Booth said.
"We have not seen anything on the ground that people perhaps were scared of happening - that it would turn into the United States of America, where decriminalisation has happened as well," he told AAP.
"I think Australia and the ACT has a bit more of a robust health system and social security net that that was never going to happen."
Alcohol Tobacco and Other Drug Association ACT chief executive Anita Mills said anecdotal evidence from drug treatment services had not shown any signs of unmanageable demands on the sector.
"We know from evidence that decriminalisation reduces stigma, which can encourage help-seeking behaviour for people who need support," she said.
"One year on, ACT drug law reforms are successfully embedded into our health and policing systems.
"This has led to strong collaboration across key service sectors to support people who use drugs to access appropriate health treatment and support."
Dr Lalor said more needed to be done to reduce the stigma surrounding drug abuse.
"This will mean reforming laws and regulations that fail to protect communities while reinforcing harm and disadvantage," she said.
"It will include a balanced investment across all efforts to reduce alcohol and other drug-related harm, which includes increased efforts in prevention, early intervention and treatment."
