With the ever-growing burden on the environment, it becomes essential to ponder on the economically viable and sustainable options for the present and future generations. Biochar has emerged as a cheap and easily available source that offers multiple solutions to environmental problems. It is a versatile source in reducing GHGs, removing heavy metals and pollutants from the soil, improving the flora and fauna of the soil. In addition, there have been several findings which indicate that biochar can be an alternative source of energy. This chapter puts forward a comprehensive discussion on the compatibility of biochar with the environment.