
Though the story is about shrikalahasti, i dont think this carving is not in srikalahasti temple. Looks like its in lepakshi or some other place. Howev##er, let me give you some inputs about the story.
This represents ShriKalahasti (Spider, Snake, Elephant) and bhakta kannappa who offered his eye to lord shiva when his one of the eyes was bleeding. So the name of the temple is Shrikalahastishwara temple and the town is named after this..This town is just 45 km from the world famous Tirumala Tirupati Devastanam of Lord Venkateswara swamy. An interesting and hidden secret is, shrikalahasti swamy is one of the oldests diety in the world. Even much older than TTD. Kalahatiswara was worshipped at this place by Brahma during all four Yugas.
The swamy originally was Karpoora Lingam. But on the request of Vayu deva, it has become a Vayu Lingam. Suras, Asuras, Garuda, Gaandharvas, Kinneras, kimpurushas, Siddhas, Saadhvis, humans and others will worship this Lingam”.
There are several other legends connected to the glory of the temple. Prominent among them is of Parvati who was cursed by Shiva to discard her heavenly body and assume the human form. To get rid of the above curse Parvati did a long penance here. Pleased with her deep devotion Shiva again recreated her body – a hundred times better than her previous heavenly body and initiated various mantras including the Panchakshari. Consequent to this, Parvati gained fame and came to be known as Shiva-Gnanam Gnana Prasunamba or Gnana Prasunambika Devi.
This is called Kasi of South. Like in Kasi, Srisailam, this is very good for all the tantras particularly all bhairava tantra.
Ghanakala, Mayura, Chandra and Devendra were also freed from their curses after taking bath in the river Swarnamukhi and praying at Srikalahasti. To Bhakta Markandeya, Shiva appeared in Srikalahasti and preached that a Guru alone could make esoteric teachings and, therefore he is Brahma, Vishnu and Maheswara.
This is the only temple in India which remains open during Solar and lunar eclipses, while, all other temples are closed.This temple is famous for Rahu-Kethu pooja. It is believed that performing this pooja will ward the people from astrological effects of Rahu and Kethu.

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