To simulate the wave transformation by an energy dissipation region, a numerical model is suggested by discretizing the elliptic mild-slope equation. Generalized conjugate gradient method is used as solution algorithm to apply parabolic approximation to open boundary condition. To demonstrate the applicabil-ity of the numerical procedure suggested, the wave scattering by a circular damping region is examined. The feature of reflection in front of the damping region is captured clearly by the numerical solution. The effect of the size of dissipation coefficient is examined for a rectangular damping region. The recovery of wave height by diffraction occurs very slowly with distance behind the damping region.