The star of the game was Australian skipper Meg Lanning who scored a half century and took two catches to take Australia to their fourth World Twenty20 final.
England won the toss and invited Southern Stars to take guard first.
Batting first, Australia scored 132/6 in 20 overs with skipper Meg Lannings being the top scorer with 55 runs from 50 balls with the help of six boundaries.
Opener Alyssa Healy made 25 runs from 15 balls after striking five boundaries while her opening partner Elyse Villani contributed 19 runs from 20 balls with four boundaries to her name.
Natalie Sciver grabbed two wickets for England while Laura Marsh and Jenny Gunn took a wicket each.
In reply, England managed 127/7 on the scoreboard in their 20 overs with opener Tammy Beaumont scording 32 runs from 40 with the help of a boundary and a six while captain Charlotte Edwards making 31 runs from 29 balls after hitting four boundaries.
Sarah Taylor made 21 runs from 23 balls with the help of a six.
Megan Schutt took two wickets for the Australian side while Ellyse Perry, Renee Farrell, Kristen Beams and Erin Osborne grabbed a wicket each.
Australia will defend their titles against the winners of the second semi final which will be contested between New Zealand and West Indies on Thursday.
Southern Stars have never lost a Women’s World Twenty20 final. They qualified for the finals thrice and have emerged victorious every single time.