With the advent of visual sensor networks (VSNs), energy-aware compression algorithms have gained wide attention. That is, new strategies and mechanisms for power-efficient image compression algorithms are developed, since the application of the conventional methods is not always energy beneficial. In this paper, we provide a survey of image compression algorithms for visual sensor networks, ranging from the conventional standards such as JPEG and JPEG2000 to a new compression method, for example, compressive sensing. We provide the advantages and shortcomings of the application of these algorithms in VSN, a literature review of their application in VSN, as well as an open research issue for each compression standard/method. Moreover, factors influencing the design of compression algorithms in the context of VSN are presented. We conclude by some guidelines which concern the design of a compression method for VSN.