In 1882 a party of 246 Norwegian immigrants settled in the town and subsequently started to play a major role in the development of the area.

Post the opening of the railway to Durban in 1901, the harbour fell into disuse and eventually the river silted up again, making it impossible to use.

Remains of the Norwegian presence can still be seen today in certain places of the town, such as, Fredheim and Oslo Beach, with its main street King Haakon Drive.

[7] When the Norwegians arrived, few European settlers lived in the area and the town of Port Shepstone consisted of one hotel, two cabins, one shop, and little else.

Eventually, though, the ongoing wreckages and arrival of the railway, was to see the gradual closure of the harbour and the start of the real Port Shepstone boom.

The "white" suburbs of the town included the little coastal villages of Umtentweni, Sea Park, Southport, Anerley and Sunwich Port to the north and Oslo Beach to the south.

At the time, there was no township present in Port Shepstone due to the management of the "black" area which was creating a problem because the Nsimbini Tribal Authority claimed the extension of their territory on white land which was their in the past.

The town hosts a Magistrate's Court and most central and provincial government departments maintain regional branches or other offices here.

[15] As part of the Ray Nkonyeni Local Municipality’s urban renewal programme, the former Port Shepstone taxi terminus on Nelson Mandela Drive in the CBD was demolished to make way for a new integrated intermodal facility.

The facility is a four-level structure with gross retail area of 23 890m² comprising informal traders stalls and anchor stores such as Boxer, Shoprite and China Hyper.

[22][23] Port Shepstone Country Club is a large 18-hole golf course located on the northern banks of the uMzimkhulu River in Umtentweni.

Nowadays regular daily bus services connect Port Shepstone to other major cities in South Africa.

These buses normally terminate in different locations in the CBD such as near Port Shepstone High School, Shell petrol station and opposite the Oribi Plaza Shopping Centre.

Bus companies that operate long-distance routes to and from Port Shepstone include Intercape, Intercity, Greyhound and Citiliner.

Port Shepstone is also the northern end of the R620 (Marine Drive) which runs south along the coast via Shelly Beach, Uvongo, Margate, Ramsgate to Southbroom.