A promising water treatment method involves using biomass-derived activated carbon (AC) to remove emerging pollutants from wastewater due to its adsorption capacity, cost-effectiveness, and sustainability. Notwithstanding, the existing literature lacks comprehensive studies that specifically focus on removing contaminants in water by comparing the effectiveness of adsorption and photocatalytic degradation methods. Additionally, there is not much emphasis on analyzing the combined processes of adsorption-photocatalytic degradation utilizing AC. Herein, this paper investigates the intricacies of adsorption-photocatalytic degradation mechanisms and contributing variables in the enhancement of performances using biomass-derived AC. Furthermore, this review paper presents a comprehensive examination of different biomass sources employed in the synthesis of AC. It also discusses the diverse techniques utilized for the fabrication of AC, including physical and chemical activation methods. Finally, the shortcomings and future prospects of biomass-derived AC have been addressed. This study offers significant insights for the development of future biomass-derived AC, with the goal of improving their efficiency and expanding their uses in wastewater treatment.