Formula One boss, Bernie Ecclestone, had threatened to move the Australian race to Sydney, or scrap it completely, if Melbourne refused to alter the starting time.
Victorian Premier, John Brumby, said: "The Grand Prix has been an outstanding event for Victoria over a long period of time and has helped put Melbourne on a global stage. Next year's later start time will mean even greater TV audiences in the United Kingdom, Asia and European markets."
Last year’s Melbourne race attracted over 300,000 spectators making it one of the best attended races on the calendar.
