The announcement was made on what would have been the 83rd birthday of England and Manchester United international had he survived the Munich Air Disaster of 1958 that devastated the great Manchester United squad, known as the Busby Babes.
Mayor Councillor David Stanley laid flowers in the town centre at the statue dedicated to the player, from Woodside, Dudley, and hosted a reception at the Council House.
Among the guests were former Wolves player Mel Eves and Rose Cook-Monk, of the Duncan Edwards Foundation, who officially launched her new play, Keeping the Dream Alive, about the life and times of the sporting hero.
It will receive its premiere at Brierley Hill Civic Hall in May next year with Bernard Hill, best known for playing Yosser Hughes, the troubled 'hard man' in Alan Bleasdale's groundbreaking 1980s' TV series Boys From The Black Stuff, in a narrating role as the character Time.
The 74-year-old actor and lifelong Manchester United fan also appeared in the Lord of The Rings films and played the captain in Titanic.
The play portrays the life and times of Duncan from early childhood through to reaching the heights of his footballing career and the Munich Air Disaster, which tragically cost him his life.
Councillor Stanley said: "On what would have been Duncan Edwards’ 83rd birthday, it seems only fitting that we honour the special occasion."
Rose Cook Monk said: "Although I never met Duncan I have been privileged to meet many people who did and talked so openly about the kind of person and footballer he was. In writing this play, I want to keep his dreams and memories alive for today’s, and future, generations."
The play will also be performed at venues in Manchester, Munich, Malta, London and Northern Ireland.