this thesis explores the effectiveness of algal biomass as a possible alternative to fossil fuels. the thesis examines the cost-effectiveness, sustainability and environmental friendliness factors of algal biomass and checks if algal biomass is a viable alternative that can bring down the disadvantages caused by fossil fuels in the energy sector. the research was conducted by reviewing existing studies on the subject. algal biomass was found to be better than fossil fuels in terms of sustainability and environmental friendliness factors. with improving technology, the cost-effectiveness could also be improved. thus, indicating that algal biomass could be considered a great alternative to fossil fuels.