Environmental damage in Ponorogo Regency is more caused by land conversion factors that occur in several regions, especially in the highland areas. The problem formulation consists of two questions, first what is the impact of environmental damage from the function of hilly land to plantation land. Second, how do regional governments overcome environmental damage due to changes in land use based on welfare state concept. The research purposes is to know and analyze related environmental damage and evaluate regional government efforts in environmental damage problems. The research method used is empirical research, which consists of primary data and secondary data. The research approach used in statute approach and sociological approach. This study finds out, (1) the impact of environmental damage, such as landslides disaster, difficult to get clean water, difficulties in reforestation, lost soil characteristics, and (2) the efforts of regional government in overcoming environmental damage are to conduct spatial planning based on regulations in accordance with Welfare State Concept. The conclusion is regional government have done well in overcoming environmental damage by caused land conversion with establishment Red Zone Areas and Prone-Zone Area. Meanwhile, if reviewed the regional government is not optimum on handling the problems.