The legend at the bottom of the image says Naumachia Domitiana, which can mean either "a staged naval battle sponsored by Domitian (emperor from 81-96 AD) " or "the facility where the battle took place built by Domitian." Perhaps here it means both. In the representation above, an artificial lake surrounded by a colonnade seems to have been built into a paved square. These spectacles were often recreations of famous sea battles of the past, like Salamis (between the Greeks and the Persians). The Romans seem to have avoided re-enacting famous battles in which they participated lest the wrong side win. Prisoners of war and condemned criminals manned these ships and fought to the death.
The naumachia was first introduced by Julius Caesar.