The actress, best known for her role as alien Diana in the original V series, signed up to play manipulative businesswoman Diana Marshall on the Ramsay Street soap earlier this year.
Speaking to TV Week about her new role, Badler explained: "She's Paul's boss, a woman who's been running the Lassiter's arm in New York under CEO Rosemary Daniels. But at one point, a long time back, Paul and Diana were lovers. He broke her heart - as he seems to do often - and Diana's never quite forgotten it.
"Now she's come to Ramsay Street to bring Paul down, and yet there's still this enormous attraction between them."
Asked whether Paul (Stefan Dennis) is about to cheat on wife Rebecca (Jane Hall) again, Badler replied: "He well could!"
Badler has a four-month guest contract with Neighbours. Her first episode will air in Australia next week.