A new combustion technique has been developed in the last decade that permits the burning of low quality coal, lignite and other fuels, while maintaining stack emissions within State and Federal limits. Low quality fuels can be burned directly in fluidized beds while taking advantage of low furnace temperatures am chemical activity within the bed to limit S02 am NOx emissions, thereby eliminating the need for stack gas scrubbing equipment. The excellent heat transfer characteristics of the fluidized beds also result in a reduction of total heat transfer surface requirements, thus reducing the size and cost of steam generators. Recent tests on commercial units have proven the concept. This paper reviews the progress that has been trade in th...