Global warming is an unequivocal fact proved by the persistent rise of the average temperature of the earth. IPCC reported that scientists were more than 90 % certain that most of the global warming was caused by increasing concentrations of greenhouse gases (GHG) produced by human activities. One alternative to combat the GHG is to explore technologies for utilizing CO2 already generated by current energy systems and develop methods to convert CO2 into useful combustible gases. Two-step conversion of CO2 with catalysts is one of the most promising methods. Ceria (CeO2) is chosen as the main catalyst for this conversion in the thesis. It releases O2 when it is reduced in a heating process, and then absorbs O2 from CO2 to produce CO when it is re-oxidized in a cooling process. To make the conversion economic, solar power is employed to drive the conversion system. In this thesis, a flexible system with fluidized bed reactors (FBRs) is introduced. The thermogravimetric analysis (TGA) was carried out to examine the performance of ceria during its reduction and oxidation. Subsequently, the exergy analysis was used to evaluate the system’s capability on exporting work. The theoretical fuel to chemical efficiency varied from 4.85 % to 43.2 % for CO2 conversions. To investigate the operation mechanism of the system, a mathematical model was built up for the dynamic simulation of the system. Variables such as temperatures and efficiencies were calculated and recorded for different cases. The optimum working condition was found out to be at 1300 ⁰C for the commercial type of ceria. Finally, an experimental system was set up. The hydrodynamics and heat transfer in the fluidized bed reactor were studied. A CFD model was built up and validated with the experimental trials around 120 ⁰C. The model was then used as a reliable tool for the optimization of the reactor. The entire work in the thesis follows the procedure of developing an engineering system. It forms a solid basis for further improvements of the system to recycle CO2. / <p>QC 20141006</p>