Fuel utilization and cooking, are indispensable parts of human livelihood. Nigeria is a developing nation where the majority depends on cheap and affordable sources of fuel for domestic and commercial cooking. Wood fuel is preferred by most rural people and many urban dwellers during festivals and ceremonies and special preparations. It is mostly preferred because of its cheapness and availability, compared with conventional fuels. The use of wood fuel for cooking has resulted in large scale deforestation, environmental degradation, loss of biodiversity, climatic problems and natural disasters. There is little awareness on the need for sustainable utilization of these important resources through effective planning and management, effective policies and legislations. This review seeks to bridge the gap between forest sustainability and economic development, and the prospects of harnessing alternative sources of renewable energy into developmental programs, as well as the need for abatement and mitigation against forest degradation and habitat loss. The paper relied mainly on secondary information from both empirical and non-empirical researches.