The event, in its 16th year, has attracted the crews of 14 balloons from across the country as they vie for a spot representing Australia at the 2010 international contest in Hungary.

Sydney pilot Paul Gibbs was triumphant the last time the region hosted the event, at Devenish in 2007.

He hoped for similar success this year.

Official competition begins this morning, with crews taking part in a series of events.

These will be based on the accuracy with which markers can be dropped onto targets on the ground.

The pilot with the most points at the end of competition on Friday wins the championship.

“I love competition and I’m a big fan of wind-powered sports,” Mr Gibbs said of his involvement in ballooning.

“But there are some serious competitors here so it’s going to be a tough week.”

Among Mr Gibbs’s rivals is fellow Sydneysider Les Springetts, who has been ballooning for the past 30 years.

The pilot has competed in every national championship except one since 1992.

Close to ideal weather has been forecast for the ballooning event, which is held every two years.

But wind and light rain threatened to hamper the public display on Saturday night, with pilots reluctant to risk damaging their balloons before the official start of competition; the average fabric “envelope” for a standard sports balloon costs about $25,000.

“The last two times I’ve come to Benalla I’ve brought rain with me,” Mr Springetts said.

“We’re doing a good job for the farmers but not such a good job for us.”

But the display went ahead without a hitch, wowing the crowds who had braved the cold for a look at the tethered objects.

Sue Robinson, who will direct the event for the week, said ballooning had experienced a resurgence in popularity in Australia since the mid-1980s.

“We were fortunate to hold the world championships in Mildura in 2004 — the first time they’d ever been held in the southern hemisphere,” she said.