Chambers was among friends at Tamworth’s Court House Hotel during the city’s famous country music festival when she received an email about the award.

People around her danced along to a high-energy bush band while tears ran down her cheeks.

“It was this really full on gig, everyone was having a few drinks and chilling, and there’s me crying in the corner because I was so happy,” she said.

Her friends tried to comfort her and asked why she was crying.

“I explained it to them and I was like ‘Oh man, this is just so beautiful',” she said.

The country music star said she was overjoyed by the award because the folk festival said it would donate money to her charity, Our Rainbow House.

It’s an Australian-owned primary school in Zambia, Africa, for which Chambers is ambassador.

“It will make such a huge difference to that little school, more than you can even imagine, and that school is really important to me,” she said.

Now Chambers can’t wait to get involved in the folk festival she loves.

“I always say that it’s one of my favourite festivals to play in Australia,” she said.

Chambers said she felt comfortable at the Folkie and recalled one of her performances.

“I couldn’t believe even though we were in a massive tent and it was a festival vibe, it felt a little bit like you were sitting in your lounge room with all these people,” she said.

Chambers also said it was a great place to discover artists.

“One of the beautiful things about that festival is that it really is true true music lovers,” she said.

“So I don’t think it matters so much whether you have a big name or no one has ever heard of you, it’s based around music and people will come and see a gig and just listen at face value.”

Chambers, who has been to the festival numerous times, discovered siblings Abbie and Jeb Cardwell at the Folkie.

Abbie has since toured with Chambers and whenever they play together Abbie joins her to sing The Captain.

Jeb, a guitarist and banjo player, often plays in Chambers’ band and will join her at this year’s folk festival.

In November, Chambers became the youngest women ever to be inducted into the ARIA Hall of Fame.

Aussie music royalty assembled that night to honour her, with Missy Higgins, Kate Miller-Heidke and Amy Sheppard singing Chambers’ world-beater, Not Pretty Enough.

Then Paul Kelly read a poem he had written about Chambers in what was one of the highlights of Australian music last year.

‘That night was so overwhelming, it actually feels like a dream I once had,” Chambers said.

“Having Paul Kelly write that poem was just next level.”

Chambers will play from 8pm to 9.15pm on Saturday at the Port Fairy Folk Festival.

She will also feature in the North East x South West performance on Sunday from 11.30am to 1.15pm which includes international artists.