Sinarmas Forestry R&D has initiated studies on development of native species in peatland since 2000. This paper describes progress of the research, especially in the last 5 years, which coincided with the implementation of the Government Regulation 71 of 2014 and in collaboration with Asia Pulp and Paper (APP), Forest Research and Development Agency of KLHK, Gadjah Mada University (UGM), Deltares and Euroconsult Mott MacDonald (EMM). The main objective was to identify alternative local species apart from Acacia crassicarpa as pulp and paper raw materials in peat areas with water table of < 40 cm (rewetted areas). Series of different trials have been established, including progeny and species trials. This paper focuses on the species trials. The trials were conducted in Siak Regency, Riau, in a randomized complete block design with 5 replicates and plot size of 6 x 6 trees. Based on the survival rate and growth data, 4 native trees, i.e. Geronggang (Cratoxylon arborescens), Gelam (Melaleuca leucadendra), Balangeran (Shorea balangeran), and Bush Merah (Lophostemon suaveolens) were great potentials as alternatives to A. crassicarpa. Propagation procedures of these species, including tissue culture techniques, are currently being explored.