Point Perpendicular was chosen in September 1883 by Colonial Architect James Barnet and Captain Francis Hixson of the Marine Board.
The original light source was a vaporized kerosene lamp with an intensity of 100,000 cd and a visible range of around 33 kilometres (21 mi).
On 5 July 1993 the light was shut down and replaced with a fully automated, solar powered lamp on top of a lattice skeletal tower.
William Parker was previously the light keeper of Cape St George Lighthouse, and Arthur Bailey was the son of Edward Bailey, the late keeper of Cape St George Lighthouse.
The first occasion was the lighthouse centenary, which was on 1 May 1999, though celebrations were postponed until October 1999 to be incorporated in the Currarong Seafare Festival.
This was followed by on-site celebrations on 16 October, including tours, a naval display, a market day, children's activities and finally, the lighthouse was lit.
Above the main door there is a glass window displaying a Waratah, the state flower of New South Wales, and the construction date.
The tower is attached to a one-storey lighthouse keeper's house made from the same concrete blocks, painted likewise white with a blue trim on the bottom.
Originally each had an underground water tank of 6,500 imperial gallons (30,000 L; 7,800 US gal), kept filled by rain from the roofs.
The site is operated by the Department of Defence, and used for gunnery practice about 100 days a year, in which access is limited.