The air pollution crisis in Karachi, with hazardous levels of CO₂, is a critical public health and environmental challenge. Existing air purification technologies are still highly energy-intensive, expensive, and not economically accessible to the community. This project, "The Biovolt Initiative," develops and tests an innovative and sustainable solution for the development of a low-cost, dual-function bioreactor that will address both air pollution and energy generation issues. The system utilizes a local strain of cyanobacterium Nostoc commune, chosen for its hardiness, resilience and efficient photosynthetic capability, in a custom-designed bioreactor. The integrated microbial fuel cells with copper plates ensure the harvesting of electrons from algal metabolic activity and converting biological processes into quantifiable electrical energy. An Arduino-based system is used for real-time measurement of CO₂ reduction and environmental parameters (temperature and humidity), implemented with MQ-135 and DHT11 sensors. Experimental results reveal a 30% drop in CO₂ levels within 30 minutes of operation, with a constant voltage output of 0.5V from MFCs. The project thereby validates the core hypothesis; a biological system created from recycled material and natural algae can be designed to create concurrent air remediation and bioenergy production. This research provides a proof of concept for a scalable, sustainable and accessible technology using exclusively local and recycled materials, aligned with UN Sustainable Development Goals 3 (Good Health), 7 (Affordable Energy), 11 (Sustainable Cities), and 13 (Climate Action), for a viable pathway toward sustainable urban living.