Research in Biotechnology, 3(1): 47-60, 2012 ISSN: 2229-791X www.researchinbiotechnology.com Review Article An integrated process for Industrial effluent treatment and Biodiesel production using Microalgae Arjun R.Krishna 1 , Lipin Dev 1 and V.Thankamani 2 * 1 School of Biosciences and Technology (SBST), VIT University, Vellore, 632014 2 Department of Biotechnology, University of Kerala, Kariavattom, Trivandrum *Corresponding author: dr.thankamani@gmail.com The present day necessities and requirements have emphasized the need for a renewable and alternate energy source is very high. Besides, the present day energy resources posse potential threat to the environment by emitting Greenhouse gases (GHGs) etc. An integrated process which involves a model of the wastewater High Rate Algal Ponds (HRAPs) near the industries and establishment of Biodiesel plants nearer to these ponds to produce algal biodiesel along with other byproducts is elucidated. Wastewater HRAPs also help in sequestering the CO 2 emitted by the industries and is used by the microalga for their photosynthesis in turn providing oxygen to the bacterial population which accumulates and degrades the toxic compounds present in the industrial effluents. This integrated process involving cheaper treatment of industrial effluents, production of algal biodiesel, accumulation of toxic compounds, sequestration of CO 2 and various other non-fuel applications contribute to an effective energy management system. 1. Introduction In our day to day life, the need for energy is increasing rapidly. We depend on various sources of energy like electricity and fuels for industries, automobiles, household activities and many other basic needs. Among these sources, the fossil fuels account for about 88% of primary energy production (Brennan and Owende, 2010). Fossil fuels being limited resources of energy are fast depleting due to the continuous exploitation by mankind (Srivastava and Prasad, 2000). Studies reveal that, these energy sources are expected to be extinct by the year 2042 ( Shafiee and Topal, 2009). Also, the combustion of fossil fuels is responsible for 73% of the CO 2 production (Ragauskas et al., 2006; Demirbas and Demirbas, 2007; NM Verma et al., 2010). So, the alternate energy sources like Biofuels which are renewable and capable of maintaining environmental and economic sustainability (Prasad et al., 2007 a, b; Brennan and Owende, 2010; Singh et al., 2010 a, b) are the need of the hour. Biofuels refer to the energy derived from the biological sources. They can be used in vehicles as an alternative to the petroleum based fuels with little change to current technologies (Carere et al., 2008). Reduction in the long term CO 2 emissions makes them both sustainable and environment friendly energy sources (Yuan et al., 2008). The food and oil crops (viz. rapeseed oil, palm oil, sugarcane, sugar beet, wheat, barley, maize, etc.) as well as animal fats contribute to the first-generation biofuels which have been mainly extracted using conventional