Global warming arising from unprecedented emissions of greenhouse gases presents the greatest test humans have ever faced. Increasing global concerns over diminishing crude oil reserve and greenhouse gas emission through combustion of fossil fuels have called for a need for alternative fuels. Use of anaerobic processes for biofuel energy clearly fit this need. Anaerobic granular systems are designed in wastewater treatment to maximize methane yield that would otherwise be fugitive which can either be used for energy or just be flared off. The methane, a greenhouse gas, can be effectively reduced rendering great potential for the Clean Development Mechanism (CDM) initiatives under Kyoto Protocol. In a CDM program, ‘carbon credit’ represents the amount of reduction of greenhouse gas emissions from an emission source. Carbon credits can be claimed by issuing Certified Emission Reductions (CERs) through advanced anaerobic wastewater treatment. In order to improve treatment efficiency and to claim carbon credits, existing aerobic and low-rate anaerobic