A procession of 100 performers bearing 500 lanterns celebrated the longest night of the year.
A chilly, but dry 3.8degC in the Octagon when the parade started did not seem to reduce the enthusiasm of the spectators after a stormy and freezing day, and a lunchtime decision to go ahead with the show.
The ''Journeys of Discovery'' carnival theme featured stilt-walkers in wearable lanterns and giant lanterns, including a sailing ship, a double-hulled waka and a hot air balloon.
''People have responded really enthusiastically. It was a very warm, friendly atmosphere. There were smiles all around,'' event publicist Miguel Nitis said.
Aimee Marshall, who was part of the lantern procession with her husband and three children, was not worried about the chilly weather.
''It makes it more exciting,'' Mrs Marshall said.
''This is our first year and we got invited by friends who were in last year. We just thought it sounded like a great opportunity for the kids,'' she said.
The event was ''unique'' to Dunedin and the whole family was happy to be part of it.
Cecillia Warriner, also part of the parade, said she came down because her son, Martin, had learnt about the lantern parade at kindergarten.
''I think it has been really well run the last few years, so it's good to be a part of it this year,'' she said.
Being midwinter it was expected that the weather would be a little cold, she said''You have just got to dress to the conditions.''