This paper highlights the importance of regional governments in the context of Indonesian struggle to resolve the problem of climate change, in particular, and wider area of environmental problem. It emphasizes, that regional governments, more often than not, overlook the value of conservation, despite evidences that conservation not only has the benefit of securing the welfare of future generation but also can avoid various environmental problem and many natural disasters of today. There is a need to modify the paradigm of financing for climate change mitigation or adaptation from focusing on searching external financing with the basis of compensation but optimizing internal source of financing as it is the local who will benefit from many of our conservation actions.

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