It is believed that the temple was built in 7th century CE by King Devendra Varma, a great ruler of Eastern Ganga Dynasty of Kalinga.

According to Padmapuranam, Sage Kasyapa installed the Idol of Surya at Arasavalli for the welfare of mankind.

[5] The walls are inscribed saying the creator of the temple was the ruler Devendra Varma, stating it was built in the time period known to them as the 7th century.

[citation needed] The temple fell into disrepair over the centuries and was reconstructed in 1778 CE by Elamanchili Pullaji Panthulu.

The early morning sun falls on the feet of the deity twice a year (Uttaraynam - March 9-11 and Dakshinayam - October 1–3), even when the 5 entrance gates are closed.