The answer is, of course, Port Fairy's annual Moyneyana Festival, which kicks off on Christmas Eve and runs through until mid-January.

This year the iconic New Year's Eve street parade has the theme Port Fairy-Tales and Fantasy, and organisers are hoping to see the streets come alive with characters from the classic fables.

Newly-appointed festival co-ordinator Naomi Harman said preparations were in full swing to ensure a full program of family friendly events to entertain and delight across the summer.

"This festival has been running since 1947 - it's an icon of the town and we are really excited to be continuing the tradition across the coming summer," Ms Harman said.

"The street parade and New Year's Eve celebrations are the highlight of the festival for so many people and we are really excited for this year.

"We can't wait to see Snow White, Rapunzel, Prince Charming dragons, mermaids and other mythical creatures taking to the streets of Port Fairy."

Ms Harman said community groups and organisations were encouraged to enter a float in the parade for a chance to take out the honour of being named Best Decorated Themed Float, Best Decorated Float or Best Decorated Bicycle.

This story is one of many featured in this edition of Summer in Port Fairy. Click here to read the entire magazine online.

She said fireworks would again erupt over Port Fairy, with a family show at 9.30pm and at midnight to farewell 2022 and welcome 2023.

"We are finalising the program now - we'll have the full rundown uploaded to our social media and website soon," she said.

"It's going to be a program full of family fun, live local music and other exciting activities.

"I'm so excited to take on the coordinator's role this year - I grew up attending the Moyneyana Festival activities and have so many lovely memories.

"I'm looking forward to ensuring plenty more memories are made for locals and visitors this summer."

- Contributed by Moyne Shire