This paper discusses the progress within research on increasing biomass in degraded post-fire peatlands for bioenergy production and peatland restoration in Central Kalimantan, Indonesia. The paper establishes that stable, robust policies and governmental support at both national and local levels, are needed to promote successful bioenergy research and its application, and avoid repeating past failures in developing bioenergy crops. Also, the potential of local tree species should be considered in bioenergy project development; in particular, consideration should be given to the ability of each species to adapt to typical environments such as highly acidic peatlands, nutrient-poor soils and soils with high levels of organic matter. The participation of local communities is of paramount importance, as well as the consideration of local preferences and context; by introducing community-relevant species, familiarity with such species and their potential uses is also increased.