In the current paper, the author points out what he sees as the root of the problem, viz. the impact of using certain kinds of theology models concerning the other religions. At present, the most common models are exclusivism, inclusivism and pluralism. In expanding and spreading its doctrine, each Religion uses one of these models. As a result, people lose their objectivity in looking at other religions of other men is wrong. The inclination to lay stress on the supremacy of the own Religion and to consider the other ones as inferior may be connected with the doctrine of salvation: only if adhering this definite Religion, people will be saved; for adherents of that other Religion, it is impossible to be saved. This attitude towards other religions directly questions the validity of both the first pillar of Pancasila, viz. ‘One Supreme God’ and the slogan of “Unity in Diversity” as the tool for unifying the people of Indonesia. To promote a situation of mutual respect and appreciation amongst the followers of different religions, the author offers an alternative model of a theological approach to the variety of religions, that he calls the model of PEACE. This model is rather apt to become an instrument of conflict solution and to create a religious lifestyle, characterized by tolerance and respect.