A temple and bat cave in one; Goa Lawah is one of Bali’s key nine directional temples. It serves as a guardian against evil spirits from the sea; quite fitting, as the temple sits directly on the waterfront, facing the island of Nusa Penida in the distance. Legend has it that Nusa Penida is home to Jero Gede Macaling, a destructive yet revered demon and the original inspiration for the Barong dance.

The temple is small but it is very old and of great significance to the Balinese. It is the designated holy place to honour the God Maheswara, who resides in this section of the island. Religious processions visit the temple every day, and it is a particular focus for religious rites associated with death.

In front of the cave are small shrines of a Shivaite temple guarding the cave's entrance. The cave is also said to lead all the way to Pura Goa in Besakih, some 30 km away. It is believed that the fruit bats provide sustenance for the legendary giant snake, Naga Basuki, which is also believed to be living in the cave.