Biodiesel is biodegradable, less CO2 and NOx emissions. Continuous use of petroleum
sourced fuels is now widely recognized as unsustainable because of depleting supplies and the
contribution of these fuels to the accumulation of carbon dioxide in the environment. Renewable,
carbon neutral, transport fuels are necessary for environmental and economic sustainability. Algae
have emerged as one of the most promising sources for biodiesel production. It can be inferred that
algae grown in CO2-enriched air can be converted to oily substances. Such an approach can contribute
to solve major problems of air pollution resulting from CO2 evolution and future crisis due to a
shortage of energy sources. This study was undertaken to know the proper transesterification, amount
of biodiesel production (ester) and physical properties of biodiesel. In this study we used common
species Oedogonium and Spirogyra to compare the amount of biodiesel production. Algal oil and
biodiesel (ester) production was higher in Oedogonium than Spirogyra sp. However, biomass (after oil
extraction) was higher in Spirogyra than Oedogonium sp. Sediments (glycerine, water and pigments)
was higher in Spirogyra than Oedogonium sp. There was no difference of pH between Spirogyra and
Oedogonium sp. These results indicate that biodiesel can be produced from both species and
Oedogonium is better source than Spirogyra sp.