The town Peddapuram is founded by Isukapalli Pedda Paatrudu. For 300 years the estate of Peddapuram was ruled by Vatsavai Jagapati Maharaja’s . The dynasty was started by Sri Raja Vatsavai Chaturbhuja Timma Jagapati Bahadur . The fort of Peddapuram was built by him. He ruled the estate from 1555 to 1607. After his demise, his son Raya Jagapati followed by his children Timma Jagapati and Balabhadra Jagapati ruled the Peddapuram Estate. From 1791 to 1804 the estate was ruled by Sri Vatsavai Raya Jagapati. One of the princes of this dynasty was separated from here and started ruling an independent kingdom named as Kottam estate of East Godavari near Rowtulapudi-kota nandur, and their generation never came back—they settled there—and they ruled until the end of the princely states.
By the time of 1785 the Peddapuram Estate extended from Totapalli to Nagaram encompassing 585 villages and towns. During the British rule, Sri Raya Jagapati was chosen to take over the estate in 1802. After Sri Raya Jagapati’s death, the three wives, Lakshmi Narasayyamma, Bucchi Seetayyamma and Bucchi Bangaramma, ruled the estate in succession. Raya Jagapati's widow Bucchi Seetayyamma, ruled from 1828-1835. She founded two trusts for the poor, one in Peddapuram and another in Kattipudi in East Godavari. Even today the poor are fed for free twice a day.
With no heir, the estate was briefly ruled by Sri Suryanarayana Jagapati Bahadur until 1847, when it was taken over completely by the British East India Company and made the town a revenue division and built the Munsif court.
The Vatsavai Maharajas patronized poets such as Enugula Lakshmana Kavi and Vedula Satyanarayana Sastri .
Pandavula Metta is located in Peddapuram and has a mythical history. You can find some ancient caves with the supposed footprints of Bhima (Pandavas).
Pandavula Metta is a hillock nearer to Peddapuram. This hill was in midst of a jungle. It is believed that Pandavas had lived here for some time during their exile. One can also see Bhimas feet even today. One should climb 108 steps to reach the temple and can find two natural caves on hill facing east. It is about 20kms from Kakinada.