The current situation demands for the production of a more efficient diesel engine fuel replacement due to the increased fuel consumption, diesel fuel exhaustion, and, eventually, social and economic repercussions. Extensive to the point research has been done where it is still looking at prospective alternatives for diesel. In this scenario, the internal combustion engine's performance is a critical point to guarantee an effective and efficient alternative fuel. In this paper, a bibliographic review of the most widely debated engine operating characteristics, such as fuel consumption, thermal efficiency, and brake power, has been carried out. Furthermore, this study investigates a state-of-the-art comparison of the compression ignition engine characteristics utilizing algae biodiesel as fuel. This work has demonstrated the application of a great deal of information to assess and explain the many types of fuels and engines. Following a thorough analysis, it was revealed that the brake power has increased by 1% to 20%, the brake specific fuel consumption has increased by 0.9% to 13.90%, and the thermal efficiency has decreased by 1% to 27.65%. As a result, algae and its blend characteristics are shown to be compatible with diesel. Because algal biodiesel and its blends have performance and emission properties that are very similar to diesel, they can be utilized as diesel engine fuel without modification. Physicochemical characteristics and the impact of algae biodiesel blends on compression ignition engine performance and emissions could be investigated in addition to blend preparation.