A combined process of catalytic oxidation and microwave heating for the treatment of lean propane-air mixture, and “green” hematite synthesis were described in this work. The study demonstrated that removal and oxidation efficiencies of propane over α-Fe2O3 were above 99.9 % after a short microwave radiation time (from 9 min) and they were strongly dependent on the applied microwave power. Comparing to conventional heating, the catalytic performance of hematite was enhanced by lowering the operation temperature under microwave conditions. Nanocrystalline α-Fe2O3 catalyst with mesoporous structure was successfully prepared by a microwave-assisted hydrothermal treatment of iron hydroxide in an aqueous solution without any alkali additive, and characterized by XRD, TEM, TPR-H2, FTIR and N2 adsorption–desorption. The microwave-induced heating over hematite catalyst appears to be a very effective alternative method for air treatment to the destruction and removal of short chain hydrocarbons.