Australian Foreign Minister Stephen Smith condemned the attack on offices of the main opposition party in northern Sri Lanka on Monday, which took the life of Major General Perera, a local opposition leader and a former Sri Lankan High Commissioner to the country.
"The Australian government sends its most sincere condolences to the Perera family and to the families of all those killed and injured in this terrible attack," Mr Smith said in a statement.
"Australia is deeply concerned about the increasing violence in Sri Lanka and the humanitarian impact of escalating conflict in the north of the country.
"Fighting has intensified as Sri Lankan government security forces seek to establish control over territory in the hands of the Liberation Tigers of Tamil Eelam (LTTE)," he said.
Mr Smith said Australia recognised the right of the Sri Lankan government to take measured action to secure control over its national territory.
"At the same time, it is vital that the government and all institutions of the state make every effort to avoid any civilian casualties and act swiftly and on a sustained basis to mitigate humanitarian hardship from the conflict," he said.
"Both sides to the conflict need to be held accountable to their responsibilities in the conduct of hostilities.
"Both sides must act in accordance with international human rights and humanitarian norms."
Mr Smith urged the Sri Lankan government to look to means other than the military to resolve the long-running civil war.
"Australia's very strong view remains that Sri Lanka's conflict cannot be resolved through military means alone," he said.
"We consider a political solution to be essential for long-term peace in a country which has been suffering for so long from conflict."