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Poverty and environmental issues are correlated. Many reports suggest that poverty contributes to environmental degradation. Therefore, it is believed that the improvement of the quality of environment must be started by alleviating poverty. The objectives of this study are to find the impact of poverty to environmental degradation, and vice versa. This study uses data panel from 33 provinces in Indonesia during 2012 to 2017. Contrary to the believe, the results show that the effort to reduce poverty resulting in more environmental degradation. On the other way, the effort to improve the quality of environment resulting high level of poverty. This imply that there is a consequence to reduce the poverty, i.e. low quality of environment. the trade off occurs because when the government tries to reduce poverty rate then the quality of environment also reduce, and if the government wants to improve the quality of environment, then the level of poverty will increase. this study suggests that the government must carefully conduct the poverty alleviation programs that create less harm to environment.