The judges said despite its growth in recent years, Havelock North has still managed to maintain its intimate village feel.
"A must visit destination for anyone travelling to the province they call Wine Country."
Hastings mayor Sandra Hazlehurst said she was very proud to boast this accolade.
"We had some stiff competition.
"This vibrant village is full of truly committed people who get in behind all the projects that we do in Havelock North; from helping plan and raising funds for the rebuilding of the Village Green, to joining in on stream clean-up days, to being fully involved in decisions around the retail centre.
"Of course we have the magnificent Te Mata Peak right behind us - our region's most spectacular natural feature, which is much-loved and used by our people from across Hawke's Bay and our visitors."
Havelock North's Business Association president Milton Andrews said the award recognised the amazing love everyone has for the village.
"People from across New Zealand are falling in love with our beautiful suburb and as part of our entry we wanted to bring Havelock North to life in video, so the judges could see why, and what makes us unique.
"For many Havelock North locals and businesses this award brings extra special significance, and represents the major commitment we have made to do more and more for the people who live, work, and visit here. It's also fantastic for Hastings and our Hawke's Bay region as a whole - we can take enormous pride in our beautiful province."
All Hawke's Bay's wins elicited cheers from the crowd and Morgan Educare staff brightened the room with fairy wings and halos.
School of Sustainability Award winner Morgan Educare, which is the first early childcare centre to receive the accolade, won for its environmental projects such as installing solar panels, setting up recycling stations, establishing vegetable gardens and having worm farms.
Centre manager Paula Mihaka said she was thrilled to have won especially seeing as they were a finalist when it was hosted in Auckland last year and missed out.
"To win in Hawke's Bay is pretty cool."
Their win would not have happened without the help of the Flaxmere community which has been very supportive of their environmental efforts, she said.
"The children and parents will be really proud when they hear."
The centre received $2000 which will go towards their water conservation project to collect rainwater for the children's use.
Hawke's Bay Farmers Market's manager Emma Glover said their Most Sustainable Business Project win was a testament to all everyone who had put in so much hard work into the market.
"It's great for the market, we're feeling really pleased," she said.
The market has introduced a waste minimisation initiative meaning that all stallholders have changed their takeaway and tasting packaging to compostable options to promote sustainability of the market to the public.
Committee member Raelle Connolly said the next step for the market is to try to reduce the plastic used, especially by stallholders.
Flaxmere councillor and MC for the night, Henare O'Keefe, was also awarded the Local Hero Award.
The judging panel was made up of the Keep New Zealand Beautiful board, education, council/government, community and business sectors.
The annual awards ceremony is held to celebrate people and communities around New Zealand who "do the right thing and demonstrate environmental excellence in all walks of life".
