A study has been carried on the thermodynamic viability of a newly proposed power generating system based on atmospheric gasification of sugarcane bagasse combined with fluidized-bed heat-exchanging and gas turbine. Under imposed conditions, several configurations of the power unit have been tried until the most efficient was found. The performance of that system was compared with a more conventional concept based on bagasse pressurised gasification, gas cleaning and turbine, or BIG/GT process. To ensure equivalence for the comparisons, optimum to near optimum atmospheric and pressurised gasifier operations have been obtained with the aid of a comprehensive mathematical simulator. The present work may help to reach decisions concerning developments in the area of power generation based on biomass.