The concept on using agricultural residues, especially cotton gin trash (CGT), as a fuel source for a small cogeneration power plant based on fluidized-bed gasification (FBG) requires that three problems be solved: (1) ash must be removed from the low calorific value (LCV) gas prior to combustion; (2) the high nitrous oxides (NO_x) emission associated with many biomass fuels must be significantly reduced to comply with local, state, and federal environmental standards; and (3) a systems analysis of engineering/economic feasibility for potential application must be developed. This paper addresses current research at Texas A&M University pertaining to these problems.