Ballarat City Council will seek Commonwealth protection for the Eureka flag, amid fears it has been "hijacked" for political motives.

The council unanimously passed a motion on Wednesday night prohibiting "inappropriate" uses of the iconic emblem.

Descendants of the Eureka Stockade this week criticised moves by far right-wing political party The Australia First Party to use the flag as its logo on election ballot papers.

The party maintained the symbol was the "essence of Australianism" and a sign of its commitment to "Australian identity, independence and freedom".

Councillor John Phillips, who brought the motion before council, said it should receive similar protections to the Australian or Indigenous flag.

"The first thing you think about when someone says democracy is the Eureka Flag," he said.

"So we need something that shows it stands for a democratic process, and not for a group to say, well, 'the Eureka Flag stood for the oppressed, and we're oppressed, so we're going to use it'."

"We want the Commonwealth Government to put some level of protection around the flag.

"I know it's been before government previously, but it's now time to have another good look at it."

'You can't put a patent on democracy'

The Battle of the Eureka Stockade on December 3, 1854, led to the deaths of more than 25 people, most of whom were rebels.

The original Eureka flag is on display at Ballarat's Museum for Australian Democracy. ( Margaret Burin (ABC) )

The Australian Workers Union, which claims the flag is central to "working-class values", has lodged an objection with the Australian Electoral Commission over its use by Australia First.

In its submission, National Secretary Scott McDine said "attempts to hijack" the Eureka Flag were offensive to trade unionists, and a "deliberate attempt" to mislead voters.

Councillor Phillips said neither the union, nor the Australia First Party, could put a patent on democracy.

"That goes for everyone, and [protections] are something that should have been put in place 100 years ago when it started being used inappropriately," he said.

"Any old group should not be able to stand up and say, well, we want some protection, so we're going to use the Eureka Flag."