Together with other industrialised nations, Austria had agreed in the international Kyoto protocol to reduce its CO2 production. In this work area a cycle for fossil fuel firing is designed based on the "Graz cycle" developed in H.Jericha ,1987, (Efficiency steam cycle with internal combustion of hydrogen and stoichiometric oxygen for turbines and piston engines, Int.J.Hydr.Energy, Vol.12, No.5). This cycle - first designed for the firing of hydrogen and oxygen - is investigated for its ability to work with a fluid of steam and CO2 and to internally burn fossil fuels and oxygen. In such a cycle there is the possibility to separate all of the CO2 produced during combustion from the exhaust gas. This CO2 can then be stored or reused in other technical processes. The thermodynamic parameters of such a cycle, the turbomachinery and the heat exchangers are developed.