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Full: Create a level 1...8...10 spirit. For non-spirit creatures within its range, all arrows that hit strike for fire damage. This spirit dies after 30...126...150 seconds.
Concise: Creates a level 1...8...10 spirit (30...126...150 second lifespan). All arrows deal fire damage for creatures in range. Does not affect spirits.
This could be used instead of a fiery string or preparation to make your arrows deal fire damage.
Another advantage of this skill is that it allows you to use another (non-elemental) bowstring, like vampiric, and still deal fire damage. This, in effect, gives you a bow with dual bowstring upgrades.
This skill was conceived in the beta for Prophecies, but it was not finally released until the Factions campaign. See GameSpot Preview of the Ranger
This would explain Greater Conflagration's presence in the game before Conflagration as well as Conflagration's clearly different icon art style compared to other Factions skills.