It is remote by Tasmanian standards with the nearest basic services away along a winding road at Maydena. However, the road is maintained in good condition by Hydro Tasmania and offers spectacular views of the South Western Wilderness.
The town was the 'company' town for construction by the Hydro Tasmania of the hydro-electric structures that resulted in damming of Lake Pedder and Lake Gordon. Its post office opened on 16 July 1969.
It is a tourist destination for visitors wishing to visit the Southwest National Park. Lake Pedder lodge reopened in 2012 and provides excellent accommodation for travellers wishing to explore the area.