On 20 July 1973, the Australian government decided that "Sydney" was to be decommissioned. A refit planned to start late in the year was cancelled, and on 12 November 1973, "Sydney" was paid off and marked for disposal. The ship had sailed since she was first commissioned: as an aircraft carrier, and as a fast troop transport. Several suggestions for disposal were made by various companies and agencies. The Geelong Regional Tourist Authority wanted the ship moored in Corio Bay for use as a maritime museum, convention centre, and floating casino. The Naval History Society of Australia suggested that the island superstructure be removed and located in The Rocks as a maritime museum, while the owners of the Sydney Opera House planned to use the ship as a floating car park. Tenders closed on 7 October 1975, and the ship was sold on 30 October for breaking up as scrap metal to the Dongkuk Steel Mill in Seoul, South Korea, for A$673,516. "Sydney" was towed from her namesake city by a Japanese tugboat on 23 December 1975, leaving at 1300 hours.