$TiO_2$ nanopowders were synthesized by new sol-gel combustion hybrid method using acetylene black as a fuel. The dried gels exhibited autocatalytic combustion behaviour. $TiO_2$ nanopowders with an anatase structure and a narrow size distribution were obtained at 400-600 ${^{circ}C}$. Their crystal structures were examined by powder Xray diffraction (XRD) and their morphology and crystal size were investigated by scanning electron microscopy (SEM). The crystal size of the nanopowders was found to be in the range of 15-20 nm. $TiO_2$ powders synthesized at 500 ${^{circ}C}$ and 600 ${^{circ}C}$ were applied to a dye solar cell. An efficiency of 5.2% for the conversion of solar energy to electricity ($J_{sc}$ = 11.79 mA/$cm^2$, $V_{oc}$ = 0.73 V, and FF = 0.58) was obtained for an AM 1.5 irradiation (100 mW/$cm^2$) using the $TiO_2$ nanopowder synthesized by the sol-gel combustion hybrid method at 500 ${^{circ}C}$.