Two young men rather worse for wear were arrested at the La De Da festival, in Martinborough, after behaving badly but they were later released without charge having been locked up for a few hours to sober up.
Mrs Watson said overall it was "good to see people were able to moderate their drinking and have a good time without taking it to the extreme".
"We are very pleased with the La De Da operation.
"The crowd was in good spirits and the new layout made it much easier for both security and police to patrol," she said.
Police were out in force during New Year checking for drink-drivers, and nabbed seven.
Mrs Watson said of those, five were caught in Masterton in the early hours.
Two others were detected later on New Year's Day, one being a driver returning from La De Da who blew a breath alcohol reading of 618mcg per litre of breath.
The legal limit is 400mcg.
Mrs Watson said considering police checked 1635 drivers during New Year, the results showed most people were learning the don't drink and drive message.
Major incidents meant Wairarapa police have been stretched to the maximum during the past few days.
The mounting of a major search in the Tararua Ranges that lead to finding a lost mountain runner safe and well, and dealing with a capsize of a raft in the Waiohine gorge that resulted in the death of Greytown man Michael Hopkins, 53, combined with the need to detail staff for La De Da had meant it was all hands on deck.