Peatland restoration is considered one of the most cost-effective ecosystem-based interventions for climate mitigation and adaptation, but also for sustaining local welfare and livelihoods as well as building the climate change resilience in local communities. However, despite its promise, the governance of peatland restoration as an ecosystem-based adaptation strategy poses significant challenges for local communities. Given that problems associated with peatland restoration often involve governance constraints and institutional mismatches, this paper presents an analytical framework illustrating how ecosystem-based adaptation (EbA), through adaptive governance (AG) strategies, can promote for a more comprehensive and flexible practices in response to evolving environmental conditions and stakeholder needs. Located in Leyte Sab-a Basin Peatland, Philippines, this study shows that governance issues posed by peatland restoration problems often originate from a lack of comprehensive sense-making of the intricate nature of these challenges and that responses, therefore, tend to be counterproductive. These results empirically support the need for a workable governance approach capable of facilitating the necessary governance changes to address the complexities of peatland restoration problems adequately.