Nowadays, the biomass produced in oil palm industry, such as oil palm fronds, palm pressed fibers, palm kernel shells, empty fruit bunch, and liquid waste discharged from the palm oil mill effluent and others, may lead to significant environmental concerns. The quantity of produced wastes by oil palm industry is increasing with the growth of this industry day by day. Therefore, the use of these wastes as compost is considered by researchers to overcome their negative impacts and recycle them to produce a useful byproduct for agriculture. This review analyzes the recent composting studies on palm oil biomass and provides useful information about the potential uses of these biomass in composting as an alternative method for enhanced and sustainable use of biomass produced from oil palm industry. In addition, environmental impacts of composting are discussed. This knowledge could build a platform for researchers in this area to understand the recent developments in palm oil biomass composting by means of addressing the environmental pollution concerns as well.