Napier’s Art Deco Festival, due to begin on Wednesday, will be cancelling all of its opening day events due to the change in alert levels.
However, the festival will wait for further information before deciding whether to proceed with other events scheduled through until Sunday, February 21.
The event has drawn in more than 40,000 visitors to the region in the past and more than 300 events have been planned for this year's festival.
Event organisers said they would provide information about ticket refunds as soon as they make decisions about the events.
"For those of you who would be travelling from Auckland or Taranaki to the festival, we expect you will make decisions based on Government’s advice.
"If the Covid restrictions are extended beyond Wednesday midnight, or you choose not to come to the festival, we will make arrangements for ticket refunds."
Like all regions outside Auckland, which has been elevated to the more serious Alert Level 3, Napier is under Alert Level 2 through at least Wednesday.
Under Level 2 guidelines, gatherings, including weddings and funerals, are limited to 100 people.