The Galway musician saw off competition from some of the country's top talent to have his Season Of The Sparks album picked as the top record of 2009.
Crowley, who also banks €10,000 in prize money, performed at the packed-out awards gig in Dublin's Vicar Street.
Other nominees in attendance included Oscar-winning band The Swell Season, which features Glen Hansard, and Derry rockers And So I Watch You From Afar.
Former winner Julie Feeney, shortlisted this year for her album Pages, said the award was key to boosting musicians' profiles.
"But this is like a piece of a jigsaw -- you need all the pieces together," she added.
"There's no point in pinning it all on one night, all the other parts have to be there too."
The 12-strong jury panel of Irish music journalists and industry experts deliberated at length to choose the album from a shortlist of 10 released by Irish artists last year.
According to industry estimates, Choice-nominated acts can expect at least a doubling or even trebling in sales of their record over coming day and weeks.