The controversial plans for seven wind turbines on land in Bearstone, near the Staffordshire-Shropshire border, had attracted 2,300 individual letters of opposition.
North Shropshire District Council's planning meeting, held last night, pulled a crowd of more than 300 people who burst into spontaneous applause and cheers when councillors voted 10 to three against the application.
Co-ordinator of opposition group Veto On Rural Turbine Expansion (Vortex), Terry May said: "We are delighted the councillors have listened to us.
"Wind turbines would devastate our local landscape, but we will not be able to celebrate properly until we know whether or not the decision will be taken to appeal.
"But if it does we will put our case forward again."
The application by Nuon Renewables was for seven turbines, each with a blade tip height of 110m, which could have provided energy for up to 7,000 homes.
But as well as provoking anger in farming and residential communities, the plans also faced opposition from all the neighbouring parish and borough councils.
Audlem, Woore, Norton in Hales, Loggerheads, Buerton and Maer and Aston parishes had all objected, while Newcastle Borough Council had previously refused planning permission for an access route to be built on the Staffordshire side of the border to gain entry to the site.
Speaking at the meeting, North Shropshire councillor Stephen Davenport said: "I have a conscience and it won't allow me to disturb the natural beauty of this area."
English Heritage also opposed the wind farm because of the adverse visual and physical effect it would have had on several historic buildings, including a grade II listed hunting lodge at Willoughbridge.
The councillors on the planning committee had visited the site earlier in the day to assess the impact and they had viewed Bearstone from different vantage points.
During their campaign, Vortex members regularly flew a blimp at the site of proposed wind farm to demonstrate exactly how high the turbines would be. The group fought to protect the countryside, bat habitats and the visual beauty of their homes and businesses.
Tina Roberts, who lives about a mile from the site, said: "Outdoor workers would be continually exposed to the effects of the wind turbines during their daily work, making it potentially dangerous.
"Some local companies could be forced out of business."
After a two hour debate councillors decided to refuse the application because of the adverse visual impact on the surrounding area.