"See the actions of tangata whenua as a gift, not an imposition," Dr Sharples said after the Geographic Board recommended that the "h" be restored and the name spelt as "Whanganui".
The spelling is already used for Whanganui National Park and the Whanganui River.
The board proposed the spelling be changed to Whanganui after local iwi committee Te Runanga O Tupoho petitioned for the change, a move vehemently opposed by the city's mayor Michael Laws, who yesterday labelled the decision "racist".
A referendum showing the majority of residents, 19,000 people, wanted the name to remain without the "h" -- as it has been spelled for 172 years.
Mr Laws said the council would appeal directly to the Government over the decision.
Dr Sharples said he could understand that generations had adopted the name Wanganui and identified with it, but called upon the city's citizens to "show pride in Maori history and embrace Maori language, treasures which make us unique on the global scene".
"The name Whanganui has a whakapapa, a history. It carries meaning and significance. The name must be spelt properly, otherwise it loses integrity.
"Correcting the name, and the implicit recognition of that gift, could be a powerful unifying force in the life and future of the city."
"Is it really appropriate to identify a major city by a name that has been misappropriated from tangata whenua, that tries to deny its whakapapa, that is a parallel import, a cultural fake?" he asked
Any name change had to be approved by Land Information Minister Maurice Williamson, who may confirm, modify or reject it, but political observers have noted the Government is relying heavily on the Maori Party to pass its emissions trading scheme which is crucial to its climate change strategy.
Kim Gillespie, editor of the local daily newspaper -- known for 153 years as the Wanganui Chronicle -- said there were no plans to change its name despite the board's recommendation.
But if the Government decided to change the city's name, the newspaper would consider incorporating the "h" into the masthead, Gillespie said.