This article，by stressing the connotation of sustainable development to achieve harmonious development of economy，society and environment，reviews the practices of Zhili Town，Huzhou City，Zhejiang Province in pursuit of sustainable development. By examining its pre-reform situation，reform methods and post-reform results，the article analyzes the key to the town’s successful transformation from an unsustainable growth to a sustainable growth. During the transformation，the township grasped the law of contradictory movement among the three elements of development：“people，industry and city”，and creatively worked out a series of solutions to difficult problems. Though rectifying the “three in one” buildings，fine management of waste separation，and comprehensive reform of social governance，the town，while ensuring the economic growth benefits its citizens，ensures that environment is clean and the society is harmonious. The article concludes that the town’s experience in governance can serve as reference for other cities to move towards sustainable development.