Well I want to make spell or enchantment that uses light but everything inside the light causes anyone inside to burn with fire damage.
(doesnt matter how much, mostly for effect).

Anyone know a mod or two?

Make an ability (I've called it RadialFireDamage) that has Fire Damage on self for whatever damage you want.
Then make a Self spell (call it RadialFire, perhaps), give it a light radius and the following script. This spell will work for both NPCs and the player:

Magic Effect Script:

scn RadialFireScriptshort ifloat radiusref fooref thisbegin scripteffectstartset this to getselfset radius to 50;      <  - Set this to the light radiusendbegin scripteffectupdateset i to 0set foo to getfirstref 79while i												

Thx man

Does it work?