Solar-powered reactor for processing of slightly absorbing and transparent gases. An obvious path to providing storable, renewable energy is through solar dissociation of gas molecules. These dissociation products are the precursors of modern liquid and gaseous fuels such as hydrogen and methanol/ethanol. An apparatus and method using a solar concentrator (such as a focusing trough or dish) directed at the receiving end of a reactor are disclosed. A range of designs of reactors for the dissociation of gases, both those that absorb slightly in the visible spectrum and those that are transparent in the visible and only absorb in the infrared, is described. For slightly-absorbing gases, a funnel-shaped reactor that preheats the gas and concentrates sunlight is the indicated embodiment. A system for dissociating CO.sub.2 using the invention is described. For transparent gases, a holraum embodiment is more appropriate for coupling solar energy into the gas. In both cases, heat from the hot stream of dissociated gas may also be used to produce electricity with a standard steam or Stirling cycle generator.