The negative effects of fossil fuels usage have provided the pedigree to consider other alternative energy sources. Bio-fuel offers option as alternative energy source due to its environmental friendliness, its sustainability and renewability. Traditional crops used as dedicated energy crops for bio-ethanol production such as grains and tubers seems to have violated the technical and ecological reliance standard in terms of sustainability, by interfering with food chain. The objective of this study is to investigate the potentials of water yam for bio-fuels production in terms of: characterization of the crop, optimizing the enzymatic hydrolysis for ethanol production, produce ethanol from the starch. The starch of the crop was extracted by wet milling method. Reducing sugar yield was optimized using the Central Composite Design (CCD) and the result analyzed using Design Expert 8.0.7.1 Trial Version; where time, enzyme concentration, water quantity and temperature are the variables. Saccharomyces cerevisiae yeast was used for starch fermentation. Distillation of fermentation wort was done using distillation apparatus. Starch yield from the crop was 41.65%. Optimal reducing sugar yield of 122.56mg/mg was obtained from the crop at the temperature of 70^oC, 0.3g/g enzyme concentration, 3.00ml/g water quantity and at the time of 3hrs. Results from the study showed that water yam is a good primary feedstock for bio-ethanol production.