Presented by iHeartRadio and ZM, Flochella was held for the first time in February this year on Lake Taupo and attracted a crowd of more than 4000 people.
Rotorua will host the 2018 event which is alcohol-free and open to all ages.
The line-up includes international artist Amy Shark as well as New Zealand artists Kings, Mitch James, Drax Project and special guests Jupiter Project.
Murray described Flochella coming to Rotorua as exciting and said there would be spin-offs.
"We don't usually get high-publicity events like this out here [Tikitapu] and I think once people see how beautiful and pristine our lake is and how awesome the park is, they will be back.
"It's fantastic for Rotorua."
As well as the concert, Flava has teamed up with NZ Bomb Comp to put on the biggest bomb competition in the country.
The NZ Bomb Comp, which has been running independently since 2015, gives entrants the opportunity to "bomb" into the lake from multiple bomb platforms up to 10m high.
The Saturday will be set aside for everything from leisure bombs to serious practising from the scaffold bomb tower.
On Sunday the best splashers will be invited to compete for the title of NZ Bomb Comp Champion. Competitors will be judged on the height and volume of their splash among a number of other criteria.
A small amount of dredging of the lake will be undertaken to ensure there is enough depth for the bomb competition.
Te Arawa Lakes Trust chairman Sir Toby Curtis said he couldn't imagine the dredging would cause too much concern.
"Let's face it, if it's being done to create some fun and bring some people to Rotorua, then we need to go for it," Sir Toby said. "I'd like to think people would get behind the event."
Destination Rotorua consumer marketing manager Tom Worsop said it was fantastic to see the events come to Rotorua.
"It highlights part of what our region is all about – our beautiful lakes," he said. "It is also a sign Rotorua is an exciting and vibrant destination that event organisers have confidence in."
He said the NZ Bomb Comp and NZME have been massively supported by Rotorua Lakes Council, Bay of Plenty Regional Council, Te Arawa Lakes Trust and local hapu to bring this event to life in Rotorua.
The event is not being run or funded by Rotorua Lakes Council, with its support by way of helping with reserve bookings and providing advice about permissions and approvals.
Tickets to Flochella are $39 and were released for sale at midday yesterday at grabone.co.nz. But be in quick, as tickets will only be on sale for 48 hours.