As the world grapples with an imminent energy crisis brought on by the depletion of nonrenewable resources, such as petroleum, the necessity for alternative and eco-friendly power sources becomes increasingly apparent. In this regard harnessing knowledge gained from natural microorganisms to produce electricity using economical substrates is a promising solution through microbial fuel cells (MFCs). Microbial fuel cells leverage microbes' catabolic abilities to break down organic matter and release electrons that are subsequently transported across an external circuit for electricity generation. This article delves into the fundamental components involved in MFC construction and explores crucial factors that impact their performance including substrate oxidation, electron transfer, and internal resistance. Additionally, it offers a comprehensive analysis of existing microbial fuel cell designs while highlighting their respective strengths and weaknesses. Finally, the article showcases cost-effective MFC models based on thorough studies conducted worldwide while illuminating potential practical applications of this renewable energy technology.