The programme, which would normally cost A$40 (£19), will be freely available to an estimated 1.4m students.
However it will include McDonald's "golden arches" branding and the line "proudly provided by your local McDonald's restaurant".
The move has the support of Federal education minister Julia Gillard who said the scheme was an important element in helping the country create a world-class education system.
However New South Wales state opposition education spokesman Adrian Piccoli retorted: "Maccas should stick to making hamburgers and the government should stick to educating children."
This is not the first time McDonald's has created a furore over an incursion into children’s education.
In January the company's US head office was forced to act over a loyalty scheme placed in a Florida school by its regional office.
Under the 'Make the Grade' scheme, which launched last year, MacDonald's advertised on kids' report cards and offered Happy Meals as rewards to pupils at Seminole County School.
McDonald's reprinted the report cards at its own cost . The scheme is set to continue until September.
It came at a time when McDonald's announced curbs on its advertising to US schoolchildren.