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Currently, the continued use of petroleum-based fuels is considered unsustainable due to resource depletion and the accumulation of greenhouse gases in the environment, in addition to land and water degradation. Therefore, biofuels from renewable sources can be an alternative to reduce the consumption of fossil fuels and contribute to maintaining a healthy global environment and economic profitability. Unfortunately, biodiesel produced from food stocks generally consumed by humans and animals can be a source of increased food market prices due to the increased use of arable land for growing biomass for the production of first and second generation biofuels. The production of biofuels from microalgae, as a third generation of biodiesel production, has some distinctive advantages, such as their rapid growth rate, greenhouse gas binding capacity and high lipid production capacity. This mini-study examines the current status of algae-based biofuels as a renewable energy source and their impact on the environment.