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Australia is bracing for severe flooding as Cyclone Alfred nears, with the rare storm on the country's eastern coast expected to bring torrential rain, destructive winds, and storm surges.

The tropical cyclone is now forecast to make landfall early on Saturday, after its progress towards the coast dramatically slowed. Alfred was 240km east of Brisbane and moving west at just 7kmph on Thursday, with sustained winds near the centre gusting to 130kmph.

Forecaster Thomas Hinterdorfer from Higgins Storm Chasing said earlier that the storm slowing down would be the "worst case scenario", as it means a longer period of very heavy rainfall while the cyclone straddles the coast.

Strong winds have already cut power to thousands of homes, and Brisbane Airport has been closed, with hundreds of flights now suspended. The State Emergency Service has ordered evacuations in Lismore and other parts of northern New South Wales by 9pm.

Prime minister Anthony Albanese urged residents to exercise caution, saying that while the cyclone "has slowed up somewhat... that is not all good news".

Authorities are searching for a possible missing jetskier off the northern New South Wales coast, as rough seas pose life-threatening risks.