One of the main challenges in sustainable development is environmental remediation which is need of the hour, particularly for waste water decontamination. The water form dye industry mainly comprises of dyes and pigments that are excessive in coloration which harms the aquatic life initially and hence the human life also. Environmental remediation of organic pollutants present in waste water by photocatalytic degradation using nanomateials has attracted considerable attention in recent years. Zirconia is a non-toxic material that finds application in numerous fields because of its chemical resistance, high melting point, high hardness and toughness, low thermal conductivity paired with a large thermal expansion coefficient. Sol gel route was found to have enhanced activity attributed to the presence of high crystallinity, presence of more number of oxygen vacancies and surface defects, high surface area, high pore volume and narrowing in band gap owing to less crystalline size. Green engineered Mg doped Zirconia can exhibit good luminescence properties as well asphotocatalytic performance for energy and environmental applications.