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Outside the busy town, Klungkung offers a contrast of landscapes from the lush hills on the road leading to Besakih temple, to the stark gravel pits to the east, formed when Mt Agung erupted in 1963, its lava flows laying waste to the ricefields of the area. The villages of Klungkung are among the most charming in Bali, and have been major prize winners in the all Bali "beautiful village" competitions sponsored by the government.

One of the natural highlights of the FGungkung area is the great Unda River just east of the city. Floods and changes in the river's course figure in many episodes of Klungkung's traditional history. Nowadays its caprices are kept in check by a system of dams and man-made dikes, built with the voluntary aid of those who live by the river and are dependent on its waters for their survival.

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