BIODIVERSITAS ISSN: 1412-033X Volume 18, Number 1, January 2017 E-ISSN: 2085-4722 Pages: 121-128 DOI: 10.13057/biodiv/d180118 Development of bio-rights incentive scheme for participatory restoration and conservation of mangrove resources SRI SUHARTI Forest Research and Development Center, Ministry of Environment and Forestry. Jl. Gunung Batu No. 5, P.O. Box 165 Bogor 16610, West Java, Indonesia. Tel.: +62-251-8633234, 7520067; Fax.: +62-251-8638111; ♥ email: suharti23@yahoo.co.id Manuscript received: 5 October 2015. Revision accepted: 24 November 2016. Abstract. Suharti S. 2017. Development of bio-rights incentive scheme for participatory restoration and conservation of mangrove resources. Biodiversitas 18: 121-128. Bio-rights incentive scheme is one strategy to accommodate efforts to increase economic benefits with efforts to prevent counterproductive activities to the environment (through restoration and conservation of natural resources). This study aims to assess the implementation of bio-rights incentive schemes, its achievements, and challenges in its implementation. The research was done by using survey method in Pesantren Village, Ulu Jami Sub-district, Pemalang, Central Java, Indonesia, which is the location of the pilot project established by Wetland International Indonesia (WII). The research was done in August to December 2014. The results showed that bio-rights incentives scheme could encourage the community to participate actively in restoration and conservation of mangrove resources. Implementation of bio-rights scheme was done through the provision of micro-credits to the community groups to develop activities that can generate sustainable income. Loan repayments and its interest was not in cash, but in the form of conservation service activities such as reforestation, habitat protection and the prevention of unsustainable land use. Through the bio-rights scheme, besides gaining financial benefits, villagers in Pesantren also received other benefits such as improvement of environmental conditions (widespread mangrove plantation, improvement in land productivity and the intensity of mangrove aquaculture). Keywords: Bio-rights, conservation, mangrove, participatory, restoration INTRODUCTION Mangrove ecosystem in coastal areas has invaluable benefits for the community and its surrounding environment. This region generates public revenue from the production of aquatic biota, mineral resources, transportation routes and area for pollution neutralizer resulted from human activity (Giesen et al. 2007; Walters et al. 2008; Kusmana 2010). Numerous benefits contained in the coastal ecosystem leading to higher pressures and increase in demands to provide and to fulfill human needs (food, housing, services) both for now and in the future. Therefore, in the utilization of natural resources including mangrove, it should be able to accommodate the demands of the economy on one side with ecological principles on the other side. However, some evidence shows that significant role of mangrove forest is not supported by the efforts to maintain its sustainability. It is estimated that among 3.7 million hectares of mangrove areas in Indonesia, 1.8 million hectares is now badly damaged due to deforestation. In assessing the value of an ecosystem including mangrove, there are different perspectives between the decision makers and profit-oriented parties on one side with the environmentalists on the other side. The first parties concern more about investment and economic development, whereas the second see the forest ecosystem from the perspective of ecology and environment (Giri et al. 2008; Soedomo 2013; Kildow and Guo 2014). In this situation, the second often are forced to be defeated due to economic pressure and the need for area development (Din et al. 2008; Sena 2009; Ramdani et al. 2015). Some evidence shows mangrove destruction occurred massively and converted into ponds and for other uses in many parts of Indonesia (Giesen et al. 2007; Kusmana 2012; Samad et al. 2013).Therefore, in designing forest ecosystem management, it requires a thorough consideration, assessment, and analysis hence it would not adversely affect its surrounding area (Karminarsih 2007; Samad et al. 2013). A balance between social economic and ecological needs should be taken into account in the planning of mangrove forest management. Various attempts have been made to ameliorate the degraded forest ecosystem through restoration and conservation activities, but until now the achievements are still lacking. The main reasons of the low success of restoration and conservation efforts is the competition between the interests of economic objectives with ecological objectives (Baderan 2013; Brown 2007; Nakagaki 2011). In mangrove management, a rational approach is needed to accommodate economic interests in one hand with ecological interests on the other hand amicably through direct community engagement. Amri (2005) reveals that in establishing a program for sustainable mangrove management, the economic benefit that would be obtained by the local people from the planted mangroves would determine the active participation of the people and the sustainable of the program. Another crucial factor determining the success of sustainable management of mangrove is common awareness of the community on