Industrialization and urbanization ought to increase the demand of resources from the environment and in return generating the waste and polluting the environment in various ways. the waste generated from urban living is classified broadly into two categories viz., liquid (wastewater) and solid waste (sludge). urban bodies collect the wastewater and treat in centralized treatment facilities, which also produces a un-avoidable by-product called sludge. presently, in india, it is estimated that 8354 million litres of wastewater is treated producing an equivalent amount of sludge which needs to be disposed of safely. currently, the approach of municipalities in dealing with wastewater and sludge accounts for around 50 to 60% of the total wastewater treatment plant operating costs. moreover, various chemicals/synthetic polymers are used at different stages of wastewater treatment, mainly coagulation-flocculation process. this synthetic polymers used during the coagulation-flocculation process are non-renewable, non-biodegradable, and have a potential neurotoxic and carcinogenic effect. considering the drawbacks, an alternative material needs to be produced to replace the synthetic polymers. during the last decade, many researchers have recognized extracellular polymer substance (eps) as a potential flocculent for its applications in various water, wastewater and sludge treatment processes. the eps mainly consists of polysaccharides, proteins, nucleic acids and lipids, which are produced by microbes to form colonies and inhibit the growth of other microorganisms. eps enhances aggregation of bacterial cells and suspended solids, moreover, adhesion and cohesion occur between eps and the organic matter along with suspended solids through complex interactions. further eps is biodegradable, eco-friendly, non-toxic and economic with overall positive sustainability index. thus the aim of this study is to isolate and identify the potential bacterial strains for producing eps. further, extraction with pure culturing technique and its various chemical characteristic indices to check the biodegradability. after the preliminary analytical study, the extracted eps is used for the experimental study to determine the ability for treating the wastewater such as coagulation potential, flocculating activity, sludge dewatering, sludge volume index and sludge settling. moreover, concentrate produced from the proposed methodology can be digested anaerobically and methane can be produced. thus recovering energy and replacing the fossil fuels which intern minimizes the ghg emissions.