Rice husk ash (RHA), a low-cost biomaterial, was utilized to form bio-oil from pyrolysis in a batch-stirred reactor, followed by its upgradation using the RHA catalyst. In the present study, the effect of temperature (ranging from 400 to 480 °C) on bio-oil production produced from RHA was studied to obtain the maximum bio-oil yield. Response surface methodology (RSM) was applied to investigate the effect of operational parameters (temperature, heating rate, and particle size) on the bio-oil yield. The results showed that a maximum bio-oil output of 20.33 was obtained at 480 °C temperature, 80 °C/min heating rate, and 200 μm particle size. Temperature and heating rate positively impact the bio-oil yield, while particle size has little effect. The overall R2 value of 0.9614 for the proposed model proved in good agreement with the experimental data. The physical properties of raw bio-oil were determined, and 1030 kg/m3 density, 12 MJ/kg calorific value, 1.40 cSt viscosity, 3 pH, and 72 mg KOH/g acid value were obtained, respectively. To enhance the characteristics of the bio-oil, upgradation was performed using the RHA catalyst through the esterification process. The upgraded bio-oil stemmed from a density of 0.98 g/cm3, an acid value of 58 mg of KOH/g, a calorific value of 16 MJ/kg, and a viscosity 10.5 cSt, respectively. The physical properties, GC-MS and FTIR, showed an improvement in the bio-oil characterization. The findings of this study indicate that RHA can be used as an alternative source for bio-oil production to create a more sustainable and cleaner environment. © 2023 The Authors. Published by American Chemical Society.