The Orange Rainbow Festival will run from Friday, March 22 until Sunday, March 24, with Orange councillor Mel McDonell excited that the event would finally take place after cancellations in prior years.

"I think it's really important to celebrate diversity and inclusivity in our community especially in our youth," she said.

"I think it's a great opportunity to celebrate who they are and make sure the Orange community embraces them."

The Central West Pride March hasn't been held in Dubbo since October 2018.

Cr McDonell hopes the Orange Rainbow Festival would help put an end to "misinformation" about the LGBTQIA+ community.

"Often it's the few noisy people that grab the headlines but the facts and the truth of it often get lost," she added.

The Rainbow Festival will kick off on March 22 with Drag Bingo at the Greenhouse of Orange from 7pm, with guest drag queens from Venom Vipers Entertainment and Productions.

The festival will continue from 1pm the next day with a 'rainbow walk' from the Civic Square South Court across Lords Place to Robertson Park, followed by a festival in the park featuring market stalls, live music, Pride Pets and a drag queen competition.

On Saturday night there will be a street disco in McNamara Street with DJs, live bands and performers from 7pm to midnight.

The festival will wrap up on March 24 with breakfast and a drag show at the Groundstone Café from 10am.

Councillor David Mallard believed the event would be a "fantastic" thing for the city.

"We're celebrating together and coming together as a community and showing we are inclusive, we are welcoming and the young LGBTQIA+ kids in particular are loved, they are seen and are safe," he said.

"Young people who have been struggling with their identity, what they're thinking and feeling, they can be welcomed in a safe and loved part of the community."

All events are ticketed with more information about how to purchase tickets on the Orange City Council website.

The free event is hosted by the Orange Youth Action Council's Sincerely Queer group, supported by Orange City Council, and is fully funded by the NSW Government's and 'Our Region Our Voice' Regional Youth Investment Program.