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The musician decides to cancel the show because of ongoing tensions between the country and militants from the neighboring region of Palestine.
The three legendary musicians join Fallon, who impersonates Young, to sing the song's catchy hook and play a snippet of 'Suite: Judy Blue Eyes'.
Eddie Vedder and Butler sang a cover of Young's 1989 track entitled 'Rockin' in the Free World' at the Big Day Out Festival, which wrapped up in Perth over the weekend.
Young is feted at a Grammy party where Dave Matthews pays tribute to the Canadian rocker by singing 'Rye Whiskey', 'My My, Hey Hey' and 'The Needle and the Damage Done'.
Anthony Kiedis and Flea will host Young's performance that benefits Silverlake Conservatory of Music.
Upset with the quality of today's sound that loses 'the warmth and the depth,' the 'Heart of Gold' hitmaker still finds the music he loves in Mumford and Sons as well as My Morning Jacket.
Bieber, who was a no-show, won over Michael Buble and Drake among others in the only category which winner is determined by fans' votes.
The Canadian rocker will collect the special award at the ceremony to take place on March 27.
Belmont-San Carlos Fire Marshal Jim Palisi reveals that it was Young's 1959 Lincoln Continental, which had been converted into a hybrid, that sparked the blaze earlier November.
For his January 15 show, Jimmy Fallon prepared a Neil Young version of the song which was popularized by 'American Idol' outcast, Larry Platt.