All it means is you have to claim lumpsums via Centrelink/FAO and not through the ATO system.

As for reconciliation 'top-ups', it's the same thing: you can't just claim it via your tax return, you have to claim it via Centrelink/ATO. So nothing is changing as such as far as how much money you get. All that's changing is how you apply for it.
this is almost entirely correct

one thing to be aware of though, you can only lodge a claim up to 24 months after the end of the financial year for ANY year to get a top up - so for the year finishing on 30/06/08 you have to claim by 30/06/10 or you won't get a top up - ONLY what you received in installments through the year (but if you've been overpaid, you will receive a debt notice)