Biochar is relatively a new and unfamiliar product to many, but biochar usage involves converting agricultural waste into a soil enhancer which help soil retain nutrients and water. The use of biochar may store carbon in the soil for a period of time for several hundreds of years as well as reduce the emission of nitrous oxide that in turn has its own potency to combat climate change. Despite this promising prospect on mitigating environmental damage from climate change, it is contended that the application of biochar still indicates uncertainties in its usage. With the lack of scientific and economic knowledge pertaining to biochar, such uncertainties are further compounded by unclear regulatory support that hampers or even prevents initiation of biochar projects. This article will review relevant regulatory framework, policies and standards at the international level in regards to the application and production of biochar. Further, the aim of this article is to investigate the potential of legal implication practiced in the biochar industry, thus providing a general insight on developing laws, policies and regulations for this industry in Malaysia. Hence, a sustainable legal framework for biochar could be adapted from existing international frameworks for bioenergy for development of a framework for sustainable biochar industry to tackle challenges of climate change in Malaysia.