A series of feasibility studies and investigations into establishing a hydroelectric scheme upstream from the Matahina Dam were performed throughout the 1970s.

[1] Construction on the scheme occurred between 1977 and 1981, and included the creation of a 10 m dam, which would hold back the newly formed Lake Āniwaniwa.

[9] Lake Āniwaniwa additionally contains both rainbow and brown trout,[10] as well as mosquitofish, common bully and goldfish.

[16][17] In 2003, some controversy arose when the Fish & Game Council opened the north end of the lake to hunting.

Some were concerned that it posed a safety risk given the proximity to the campground; however, Fish & Game argued that hunters had a responsibility to be cautious near public areas.