The latest Irish Businesses Against Litter survey ranks the county town as tied for the sixth tidiest in the country - and it's cleaner than European norms.
"It may not be topping the charts it once dominated, but Kilkenny can be again proud of its Cleaner than European Norms designation", says the An Taisce report.
Tullamore topped the rankings, followed by the area surrounding Dublin Airport - which was deemed a "litter blackspot" 5 years ago.
Despite improvements in the capital's north inner city, surveyors said they were disappointed that littered sites which were previously highlighted have not been cleaned up.
The most heavily littered site in the IBAL survey was the derelict site at the Warwick Hotel in Salthill.
There was a wide gap between towns and disadvantaged city areas.
"In the 16 years we have been conducting these surveys, this is possibly our best result", says Conor Horgan of IBAL.
Locals in the North Inner City say calling their neighbourhood "littered" is unfair.
The city centre, around Dublin Airport, Tallaght, Balbriggan and Ballymun have seen an improvement and are 'clean to European norms'.
An Taisce assess litter levels in 40 towns and cities on behalf of IBAL.
"The news is all the more positive given the importance of how we present our country over the summer months, when we attract over 40% of our visitors".
Mr. Denis Naughten TD, Minister for Communications, Climate Action and Environment welcomed the Irish Business Against Litter (IBAL) latest survey results, congratulating those involved.
One statutory direction requiring the removal of waste was given and this was complied with, while Limerick City and County Council also had one successful court prosecution in respect of illegal dumping of waste in Galvone Industrial Estate.
85% of 32 tourist sites surveyed were clean, among them the Cliffs of Moher Visitor Centre, Muckross House in Killarney, Guinness Storehouse and Newgrange, with the remainder exhibiting small amounts of litter.
While heritage amenities, shopping centres and main streets were found to be particularly clean, train and bus stations and recycle facilities were the locations most likely to be littered.