A pressing concern of issues such as climate change has drawn main attention in the world. The burning of fossil fuels by human due to increasing energy demand in various sectors is one of the main factors that influence the climate change. This has resulted in the introduction of many renewable energy sources as alternatives to fossil fuels. Biogas is one type of renewable energy that has numerous advantages. The present review covers the recent challenges of biogas production and its conversion to electrical energy. This includes the substrates used, the operating parameters, and the pre-treatment used, which can be implemented to maximise the biogas yield. The challenges and potential of the generation of electricity from biogas were also discussed in this review. The results obtained in this review emphasise that biogas is a good renewable energy, as it solves multiple problems and at the same brings benefits to human beings in many ways.