Effective lubrication is one of the most vital aspects for desirable productivity in mechanical systems. This can be achieved through reduced friction and wear between mating components by proper lubrication. But the hazardous impact of these chemical lubricants such as petroleum-based oils on our environment cannot be disregarded. So, the consistent quest for a better alternative to these emissions-causing lubricants has opened a great avenue for the practice of applying biodiesel like jatropha oil as a lubricant. The application of nano lubricants has been reported to exhibit better tribological performances than base oils. In the present work, nano-TiO2 particles were synthesized in situ followed by standard characterization techniques. Nano-oil samples were formulated by mixing nanoparticles in jatropha oil at different proportions (v/v). The nano-oil samples showed better stability. The friction coefficient obtained from the four-ball test revealed that the addition of TiO2 NPs improved the anti-friction behavior in comparison to pure jatropha oil (a maximum of 37.91% reduction in frictional force). Results from the test showed that the limiting pressure of seizure was improved by 43.81% compared to base oil. Environmental viability and degradation studies have also been conducted to ascertain the applicability of this TiO2-jatropha oil as a green fuel alternative. The corrosion inhibition capacity of the nanofluid was found to be greater than plain emulsion. The cost-benefit analysis at the end also suggests that in situ synthesis of TiO2 nano dispersant is economically viable.