Last year in Vienna Australia was represented by Guy Sebastian’s song “Tonight Again”. He was became 5th. According to Mr. Sand:

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

Last year Australia directly performed in the grand final but this year in Stockholm will have to compete in one of the two Semi-Finals.
If Australia wins the 2016 Eurovision Song Contest, the 2017 contest will be co-hosted by Australian broadcaster SBS and another European public broadcaster, somewhere in Europe.