Gunns Limited which has proposed the construction of a pulp mill , requires a lot of water. It has been suggested that this could be drawn from a dam to be built across Pipers River. It is estimated that would reduce the rivers flow by 1/3. The proposal has been met with strong opposition.
There is a small township called Pipers River, with a population of about 140. There is a tennis court and one shop. Pipers River Road, serves as a thoroughfare connecting Launceston to the Bridport Highway. The road is sealed and well developed, however there are many sharp corners particularly around Karoola.
A new resort has just been approved valued at $50 million, to be built in Pipers River, the project is estimated to be completed in 2007.