Abstract: A method for operating a palladium oxide containing catalytic combustor useful, e.g., for powering a gas turbine, wherein the palladium oxide is supported on a metal oxide such as alumina, ceria, titania or tantalum oxide. The method involves maintaining control of the temperature within the combustor in such a manner as to insure the presence of palladium oxide. By maintaining the temperature below about 800.degree. C. decomposition of palladium oxide into metallic palladium is avoided and high catalytic activity is retained. Regeneration of catalyst following inactivation resulting from an over-temperature is accomplished by using a heat soak in a temperature range which varies depending on the metal oxide used to support the palladium oxide.