Disco balls are spinning with excitement after it was announced Australia will next year compete for a second time in Eurovision, Europe’s leading music extravaganza.

Earlier this year Guy Sebastian secured fifth place in the final of the Eurovision Song Contest 2015 with the song Tonight Again, after being asked to take part to mark the show’s 60th anniversary.

The move proved so successful that Australia has been invited back.

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SBS, which will broadcast the competition, made the announcement at its 2016 program launch in Sydney on Tuesday morning.

“SBS is thrilled to have secured this opportunity for Australia to compete at Stockholm in 2016 and thank the European Broadcasting Union for their invitation,” SBS chief executive Michael Ebeid said in a statement.

“The Eurovision Song Contest is a wonderful example of cultural diversity and social inclusion and our continued participation offers a fantastic opportunity to showcase Australian musical talent in a truly international multicultural celebration.”

Previous Eurovision winner Conchita Wurst is keen to see Australia become a permanent fixture at the contest. Photo: ABC

In a statement, Eurovision said it was yet to be decided if Australia would become a permanent participant in the contest, which is known for its over-the-top costumes and kitsch performances.

Jon Ola Sand, from the European Broadcasting Union, said the competition could become increasingly more global.

“The feedback we got from viewers, fans, press and the broadcasters after Australia’s participation in Vienna was overwhelmingly positive,” he said in a statement.

“We strongly believe the Eurovision Song Contest has the potential to evolve organically into a truly global event. Australia’s continued participation is an exciting step in that direction.

“It remains to be seen what such an event may look like in the long run.”

Austrian Eurovision winner Conchita Wurst has previously thrown her support behind Australia’s permanent inclusion, saying: “I think it’s just necessary, basically.”

The 61st contest will take place on May 10, 12 and 14 next year in Stockholm’s Globe Arena in Sweden.

Julia Zemiro and Sam Pang will return as hosts, broadcasting live from the venue, Fairfax reported.

Australia will also make its debut in the Junior Eurovision Song Contest 2015, which will be aired on November 28 on SBS.