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Supercapacitors have gained much attention in recent years due to their promising characteristics, such as high specific capacitance, high power density, long cycle life, and environment-friendly nature. Usage of natural sources for activated carbon synthesis is a major focus by many researchers worldwide for discovering a replacement of existing supercapacitors. This review summarizes the methods used to synthesize activated carbon (AC) from various natural fiber, their physical and electrochemical characteristics, and the improvement of supercapacitor electrode performance. Previous research studies indicate the practicability of activated carbon derived from various natural fibers with superior electrochemical properties. The effect of activating reagents and temperature on the electrochemical performance for supercapacitor applications are also highlighted in this paper. Since the nature of activated carbon from fibers and its synthesizing methods would result in different properties, the Cyclic Voltammetry (CV) study is also thoroughly discussed on the specific capacitance together with charge/discharge test to observe the capacitance retention after several cycles. Finally, a detailed approach of converting biowaste materials to activated carbon for energy storage applications with environmental concerns is explored.