A sheep dog native to Italy is coming to the rescue of a colony of the world's smallest penguins in Australia.

The Little Penguins of Middle Island off the Victorian coast are literally being eaten alive by foxes and wild dogs. Efforts by the local Warrnambool Council to protect them using orthodox methods have failed.

Trapping, den fumigation, baiting and shooting have failed to arrest the decline in the penguin numbers. At last count the Little Penguin colony was down to 29 from several thousand five years ago.

In desperation the Council has turned to a Maremma dog. Although the Maremma Sheepdog is classed as a rare breed in Australia it has been known in its native Italy for 2000 years. The Maremma originates from two areas of central Italy; the Abruzzi, where the dog is called Postore Abruzzese and the Maremma where the dog is called Pastore Maremmano.

The Maremma is typical of a livestock guardian, possessing a natural protective instinct. They use their size and voice as a deterrent, and are not usually an aggressive dog.

Warrnambool City Council Mayor Glenys Phillpot says maremmas have been used locally to protect free range chickens from foxes

"The maremma is a working dog specifically bred to bond with its flock and warn off potential predators. We are trialing (this) to see if this same principle can be used to protect the bird colonies on Middle Island."

South West Biodiversity Manager for the Victorian Department of Sustainability and Environment, Craig Whiteford said he was excited by the project and optimistic it could work.

"It is fantastic that a lot of people are committed to making this trial happen, which is new territory for us," Mr Whiteford said. "I believe it’s worth the effort to try every means possible to protect vulnerable wildlife such as the little penguins and other birds, including shearwaters."

A local owner and breeder of maremma dogs will attend to the dog’s training and welfare throughout the trial.