The research method used in this research is qualitative research with the empiricial juridical and normative juridical which oriented to value approach and policy approach. Data used in this research are primary data obtained from interviews and secondary data from various literature. The result of research shows that the penal mediation implementation in Kei SARA conflict resolution is by using the alternative dispute resolution through the Sdov mechanism (negotiation/discussion), that is the negotiation done by the people in their own community then submitted to the custom structure as vhis bad (mediator) to reconcile and end the conflicts. While the penal mediation in the criminal law reform can be done through two forms, they are the penal mediation out of the criminal justice process (the village custom institution/the village community instituion) used the negotitaion/discussion mechanism, the mediator elements are the custom structure/the village structure and the penal mediation form as the parts of criminal justice system (SPP) through the investigator, public prosecutor, judge, correctional facility as the mediator on their own steps.