A power generation system and a fuel processor for use within a power generation system. A common hydrocarbon fuel is introduced into the heated reaction chamber along with water vapor. The hydrocarbon fuel and water react, producing less complex resultant gases. The resultant gases are passed into a hydrogen separator. The hydrogen separator separates hydrogen from the resultant gases. The separated hydrogen is used to power a fuel cell. The fuel cell produces electricity and water that can be recycled back into the system. A standard hydrocarbon fuel can therefore be used to power a fuel cell in a highly efficient, singe-step process.