He will replace Catherine Livingstone when she steps aside later this month.
King's elevation to the job as the nation's top business lobbyist comes with the unanimous support of the BCA board, which described him as "one of Australia's most respected business leaders".
King led the oil and gas arm of Boral from the mid-1990s and headed up Origin after it was spun out from the conglomerate in 2001, transforming it into a major east coast gas LNG player in Australia, albeit at the expensive of a heavy debt load.
"Grant King has served the Australian community with distinction during his business career and is exceptionally well qualified for the position of Business Council president," Livingstone said in a statement.
"Grant has a tremendous capacity to work with different stakeholders to cut through complex issues to practical solutions - a vital skill set for progressing Australia's prosperity agenda at a time when people around the world expect more and better engagement from their leaders.
"He is respected across the business and political spectrum, and has a reputation for collaboration. Grant is well-placed to continue the work of the Business Council to build enduring prosperity and economic opportunity for all Australians through a strong and competitive business community.
"Grant's leadership at Origin Energy in delivering the APLNG project, one of Australia's largest ever capital projects, is an example of the wealth of experience he brings to the role. All of this gives him terrific insight into the competitive pressures facing the nation, and the opportunities for growth and prosperity.
In a statement King said he was honoured to take up the role.
"I look forward to representing members, the leaders of Australia's biggest employers, in our effort to create more jobs, opportunity and prosperity for all Australians," he said.
"My focus will be on continuing to drive a more innovative and competitive economy, improving incentives for businesses to invest, and making the economy more flexible so it can respond to global forces of change.
"I am a great supporter of the Business Council's collective belief that a strong and growing economy is the best way to achieve social progress."
King was a director of the BCA between 2011 and 2015, and chair of its infrastructure and sustainable growth committee, in addition to his role as a councillor for the Australian Petroleum Production and Exploration Association.
He has participated in numerous taskforces, studies and committees including the B20 Advisory Group, the former Prime Minister's Low Emissions Task Force Advisory Group and the Business Roundtable for Climate Change.
Livingstone, a former Telstra chairman, is leaving to chair Commonwealth Bank.
