LIKE a lesson in how it should be done, the inimitable Neil Young kicked off his first Australian headlining tour in a decade with a predictably loud and free-wheeling show at Perth Arena last night.

Backed by Crazy Horse, his on again off again band of more than four decades, the 67-year-old rocker delivered a blistering set peppered with classics and songs from his excellent 2012 album Psychedelic Pill.

Proving that when it comes to rock n roll attitude trumps age, Young and Crazy Horse displayed the kind of energy and enthusiasm for their craft that should make some of their younger contemporaries hang up their guitars and think again.

Last seen in Australia as part of the 2009 Big Day Out tour, Young's return was welcomed by many fans who were loathe to endure the festival environment to see their idol in action.

The show began as roadies dressed as construction workers and mad scientists milled about the stage, trying to work out how to lift the case from the giant stage prop Fender speakers. It was a bit of light-hearted fun to get the crowd going for Old Shakey.

The man himself and Crazy Horse, guitarist Frank "Poncho" Sampedro, bassist Billy Talbot and drummer Ralph Molina, who were making their Australian debut, appeared on stage to the strains of Advance Australia Fair. At the end of which Young, a renowned social activist, yanked open his shirt to reveal an Australian Aboriginal Flag logo.

The band then launched into a full throttle two-hour long show that was everything fans could have asked for and so much more.

Standing in a circular formation for the majority of their jams, Young, Sampedro and Molina were dynamite. Their playing was intuitive, tight and passionate. These guys could jam all night and still be mesmerising.

But anyone expecting the veteran rocker to deliver a greatest hits set was going to be disappointed, the prolific songwriter isn't ready to hang up his quill and head out on a retirement-boosting best of tour just yet.

Indeed the so-called Godfather of Grunge's Alchemy tour has been famed for featuring just 13 tracks in an almost two hour long set. The majority coming from Psychedelic Pill, his 35th studio album.

True to form the set began with Love and Only Love from the 1990 album Ragged Glory. Next came Powderfinger from the 1979 live album Rust Never Sleeps, then Born In Ontario and Walk Like A Giant from Psychedelic Pill. Together they clocked in at 45 minutes.

"Nice to see ya, thanks for coming. You're a good looking group," Young told the almost capacity crowd.

Heart of Gold provided the packed Arena with the perfect opportunity to sing along with Young during a three song acoustic set.

It was followed by Singer Without a Song and the 16-minute long Ramada Inn."This is the first time we've brought our analogue Crazy Horse time machine to Australia," Young said to cheers from the crowd.

Cinnamon Girl was another crowd favourite and F*!#in' Up, which turned into a funk jam with Young doing his best Prince-like falsetto. But it was Sampedro who stole the show with accusatory gestures and comic timing. Brilliant stuff.

All too soon we were rocking out to My My, Hey Hey (Out of the Blue) with its catch line of "It's better to burn out than to fade away".

"Thank you, you're wonderful," Young said to the enthusiastic applause. "We like you too."

The show closed with Roll Another Number (For The Road).

And so ended one of the best rock n roll shows most of us have ever had the privilege of seeing.

Young will play seven more shows around Australia before heading to New Zealand for two dates, don't miss him.