Crowds were generally well behaved during New Year celebrations in Melbourne and across Victoria, but police are concerned about the use of illegal fireworks after three men were injured in separate incidents.

"There was a lot of love in the air, and I guess for me that pretty much sums up what we saw in the city last night and across the state as a whole," Deputy Commissioner Andrew Crisp said on Monday.

"People did the right thing - they went out, they had a great time, and the vast majority of those went home safely."

Police arrested 238 people overnight, including 99 arrests for being drunk and 23 reported assaults as hundreds of thousands of revellers filled Treasury Gardens, Kings Domain, Docklands and Flagstaff Gardens to watch a 14-tonne fireworks extravaganza.

One man was seriously injured when he hit his head on a gutter after a suspected one-punch attack on Spencer St, before later regaining consciousness in hospital.

Police are appealing to anyone who witnessed the fight to contact authorities.

While the total number of arrests was higher than last year, when 183 people were arrested on New Year's Eve 2016, police are generally pleased with how the evening unfolded.

But authorities are concerned about the use of illegal fireworks after three people were injured while lighting them.

"Frustratingly and disappointingly we saw issues and incidents in relation to fireworks," Mr Crisp said.

One 34-year-old man was seriously injured after a firework exploded in his hand in Caroline Springs.

Two other men were also injured in separate firework incidents - one had a firework explode in his face in Melton, and another injured his hand while lighting a firework in St Leonards.

Police are concerned the summer holidays and upcoming Australia Day celebrations could lead to further injuries caused by illegal fireworks.

"In the lead-up to Australia Day there will be people using fireworks and I want to get this point across - they're not to be played around with," Mr Crisp said.

"They're dangerous, they are explosives and we're very, very fortunate we have not seen a death overnight."