The growing demand for the production of sustainable and renewable fuels has directed attention toward producing bio-liquefied petroleum gas (bio-LPG), a viable alternative to conventional LPG. One of the bio-LPG production processes involves utilizing lignocellulosic biomass in the production of butyric acid via the biological route and subsequent conversion of butyric acid into bio-propane (bio-LPG). To produce bio-LPG sustainably on a large scale, the investigation needs a clear-cut perspective on the economic feasibility, energy efficiency, and environmental aspects. Thus, this chapter examines and outlines the role of techno-economic assessment (TEA) and life cycle assessment (LCA) methodologies in the sustainable production of bio-LPG from the waste renewable biomass such as agricultural waste, forest residue, municipal solid waste, and food waste. TEA evaluates the fesability of the production and conversion of butyric acid to bio-LPG mainly, capital cost and operational costs, and then knowing about the potential market dynamics. The key findings of this review highlight potential waste biomass as a sustainable feedstock for the production of bio-LPG. The application of TEA and LCA helps in emerging the production rate of bio-LPG from laboratory scale to industrial scale production level which overall contributes to the renewable energy and circular economy principles. In an overall conclusion, the findings aim to provide the path to the stakeholders in optimizing the bio-LPG production process and maximizing the economic returns. Therefore, these assessments help enhance sustainability and ensure the economic competitiveness of bio-LPG, making it a promising renewable fuel alternative to conventional energy sources.