<p>The global fishing industry generates millions of tons of waste annually, posing environmental and health risks. The valorization of fish waste can potentially lower the expenses related to saving disposal and generate valuable products by extracting valuable compounds like collagen, protein, gelatin, chitin, and oil. The increasing global demand for sustainable energy has led to exploring alternative bioenergy sources. Recent research has revealed that fish discards are viable alternatives for producing biofuels with economic and environmental benefits. This comprehensive review describes the latest innovations in the production of biofuel from fish waste and also highlights their efficiency, challenges, and environmental impact. Additionally, the economic feasibility and sustainability of fish-waste-derived biofuels are discussed in comparison to conventional fossil fuels and other biomass sources. The key benefits of biofuel production from fish waste include being a renewable energy source, reducing waste, lowering greenhouse gas emissions, and being cost-effective. This review underscores the need for further research, technological advancements, and policy support to optimize fish waste utilization for sustainable bioenergy solutions.</p> Graphical abstract <p></p>