| As the key eco-fragile and eco—protective screen area, west China urgently needs ecological compensation mechanism. However, there are some problems during the process of eco-compensation in the west, such as the mode of compensation is monotonous, the intensity of compensation is weak, resulting in damages to the compensation function. From the strategic status of ecological environment in west China, by investigating current situation and problems with the compensation form, it put forward that financial compensation an important way to perfect ecological compensation system. Several suggestions were given, such as to enhance the central financial transfer payment, to setup the policy system of local finance, to strengthen cross transfer payment between regions, and to reform the existing tax system. As a result, effectiveness of ecological compensation can be realized in west China. |