Adelaide will host the final event in the V8 Supercars championship for the next five years after signing an agreement to lock the race in until 2026.
Supercars Australia has also committed to SA hosting its end-of-season awards night on the Monday following the Adelaide 500 for the next five years.
Supercars Chief Executive Mark Howard said Adelaide would offer a great setting for the season finale.
"The Adelaide 500 is a spectacular event that showcases South Australia to a huge national and international audience," Mr Howard said.
"It will be a fitting finale to the championship for the next five years."
Motorsport great Mark Skaife, a two-time winner in Adelaide, said it was also appropriate for the city to host the final race this year, with Holden to make its last appearance in the V8 competition.
"It's the final time you're going to see a Holden on the race track," he said.
"It's utterly supportive of not only the Holden fans but appropriate for a Holden town like this one to have the last race.
"It's a massive moment in the history of our sport."
Premier Peter Malinauskas said the agreement provided certainty for the government and race organisers as well as all the businesses, contractors and workers who relied on the event.
"This is a historic moment for motorsport in South Australia," he said.
"Not only are we locking in the event's return this year, but we are also securing the race for at least the next five years.
"I have every confidence hosting the final race in the Supercars Championship will become an integral part of the sport's calendar in the same way the season opener in Adelaide used to be."
After the previous Liberal government elected not to continue with a V8 street race in Adelaide, Labor made it an election commitment to bring the event back.
It was considered a significant issue for a large number of voters at the March state poll.
Mr Malinauskas said the government hoped to attract more than 200,000 fans to this year's race to be run from December 1 to 4.