Nickel-yttria stabilized zirconia (Ni-YSZ) cermet with various vol.% of Ni has been prepared by the combustion of Ni(NO 3 ) 2 , Y(NO 3 ) 3 , ZrO(NO 3 ) 2 and carbohydrazide followed by hydrogen reduction at 800 o C, 2 h. The as-formed cermet powders were fine with surface area in the range of 27-32 m 2 /g with an average agglomerated particle size in the range of 0.25-0.8 μm. The samples could be sintered to the required density (>70% theoretical density) with porous microstructure. At lower Ni content (=<30 vol.%) the conductivity increases with increasing temperature whereas at higher nickel content the cermets exhibit metallic behaviour. The thermal expansion of the cermets increases with increasing Ni content. The 30Ni-YSZ cermet with high electrical conductivity (40 S/cm) and low thermal expansion coefficient (11.64x10 - 6 K - 1 ) appears to be compatible with the electrolyte (YSZ) for SOFC application.