In this study, it is pointed out that one important element in obtaining sustainable development is the use of exergy analysis. By noting that energy can never be "lost" as it is conserved according to the first law of thermodynamics, while exergy can be lost due to internal irreversibilities, the study suggests that exergy losses, particularly due to the use of non-renewable energy forms, should be minimized to obtain sustainable development. Furthermore, thermodynamic concepts and potential usefulness of exergy analysis is discussed; the linkages between exergy and environmental impact, and exergy and sustainable development are introduced, and several key issues on sustainability and its consequences are addressed. In additions, some case studies are presented to highlight the information revealed using exergy and to show the exergetic aspects of sustainability. It is concluded that the potential usefulness of exergy analysis in addressing and solving environmental and sustainability problems is substantial.