From the other side of the fence- agree totally, have heard very few knock-backs for civ traffic by ATC, only then when a/c had no working transponder with weather less than VMC and Mil IFR traffic in the area. This was in Nowra and it's generally a LOT quieter than Willy however.
Gets interesting though when someone decides to blunder in without a clearance, with transponder on.
and suddenly doing a 180 when approach asks them what their intentions are...