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As discussed in the previous chapters, local governments often have a strong interest in exploiting forests to generate revenues from taxes and fees as well as from the distribution of relevant national taxes and fees. REDD+ measures may restrict local governments from pursuing productive activities in forests and reduce this revenue stream which is needed to finance local public services. Local governments would also need to perform a number of activities to address locally specific causes of deforestation to ensure successful implementation of REDD+. Meaningful participation of local governments in REDD+ implementation is imperative. Successful implementation of REDD+ requires not only the transfer of funds, but it also requires addressing governance challenges to its implementation (Corbera et al., 2010; Ebeling and Yasué, 2008). Most countries responsible for emissions from deforestation and forest degradation have implemented certain forms of decentralisation in public administration and forest management. Appropriate distribution of revenues among government levels needs to be carefully considered to compensate the costs of REDD+ implementation at the local level