Like the British Army, Australia did not have a parachute operations capability at the outbreak of the Second World War; however, the demonstration of the effectiveness of such forces by the Germans in the early stages of the conflict soon provided the impetus for their development.

As a result, the 1st Parachute Battalion was raised at this time at RAAF Station Richmond near Sydney, New South Wales.

Consisting of six officers and 51 other ranks, the 1st Parachute Troop, Royal Australian Engineers, was specially trained to undertake clandestine demolitions work alongside the battalion's rifle companies.

In August 1944 the battalion gained its own organic indirect fire support when it was joined by the parachute qualified 1st Mountain Battery, Royal Australian Artillery, equipped with short 25 Pounder guns.

[7][10][Note 1] A few months later, the battalion was warned to prepare for a mission to rescue thousands of Allied prisoners held by the Japanese at Sandakan in North Borneo.

[6] The war ended before these operations took place, however, and following the Japanese surrender the battalion was ordered to prepare to deploy to Singapore for garrison duties.