@Tarqueth Like a violin, the pegs are friction fit; they are tapered, so that when pressed into place they hold the string's tension (that is, tuning).
I'm changing these to a geared tuning peg so that instead of wrestling with rosin and all that, you can simply adujst the string's tuning by turning the knob. None of this pull-the-peg-out, turn-the-peg-to-what-you-hope-will-be-the-right-pitch, push the peg back into place. The geared pegs work like banjo tuners: turn to tune.
@Tarqueth Lutes, no matter what type (there are two major types of lute), have lots of "pegs", which are tapered wooden pieces with what I will call handles on the end for tuning, and a hole in the longer part for retaining the lute string.