Port Shepstone Lighthouse developed out of the signal station (when an ordinary ship masthead lantern was exhibited from the top of a ladder-like structure) and came into operation during 1895.

The present cast iron lighthouse was erected during 1906. It was first located at Scottburgh (50km north of Port Sheptone) where it marked the southern extremity of the infamous Aliwal Shoal and thereafter it was transferred to its present position.

Today Port Shepstone is the administrative, commercial, distribution and transport centre of the South Coast.