Rare earth elements (REEs including Sc, Y) are critical minerals for developing sustainable energy sources. The gradual transition adopted in developed and developing countries to meet energy targets has propelled the need for REEs in addition to critical metals (CMs). The rise in demand which has propelled REEs into the spotlight is driven by the crucial role these REEs play in technologies that aim to reduce our carbon footprint in the atmosphere. Regarding decarbonized technologies in the energy sector, REEs are widely applied for use in NdFeB permanent magnets, which are crucial parts of wind turbines and motors of electric vehicles. The underlying motive behind exploring the energy and carbon footprint caused by REEs production is to provide a more complete context and rationale for REEs usage that is more holistic. Incorporating artificial intelligence (AI)/machine learning (ML) models with empirical approaches aids in flowsheet validation, and thus, it presents a vivid holistic picture. The energy needed for REEs production is linked with the source of REEs. The availability of REEs varies widely across the globe. REEs are either produced from ores with associated gangue or impurities. In contrast, in other scenarios, REEs can be produced from the waste of other mineral deposits or discarded REEs-based products. These variations in the source of feed materials, and the associated grade and mineral associations, vary the process flowsheet for each type of production. Thus, the ability to figure out energy outcomes from various scenarios, and a knowledge of energy requirements for the production and commercialization of multiple opportunities, is needed. However, this type of information concerning REEs production is not readily available as a standardized value for a particular material, according to its source and processing method. The related approach for deciding the energy and carbon footprint for different processing approaches and sources relies on the following three sub-processes: mining, beneficiation, and refining. Some sources require incorporating all three, whereas others need two or one, depending on resource availability. The available resources in the literature tend to focus on the life cycle assessment of REEs, using various sources, and they focus little on the energy footprint. For example, a few researchers have focused on the cumulative energy needed for REE production without making assessments of viability. Thus, this article aims to discuss the energy needs for each process, rather than on a specific flowsheet, to define process viability more effectively regarding energy need, availability, and the related carbon footprint.