The first one is dynamic lights and shadows plus 205983 meshes and 3d boxes that make up the scene. It's quite 3d.
Another similar scene:
<img src="http://dl.dropbox.com/u/326175/asdqwesd10.JPG">
The second one is a skybox with free camera that'll have dynamic weather and stuff, I just haven't implemented most of it yet.
<img src="http://dl.dropbox.com/u/326175/Untitled-16.JPG">
<img src="http://dl.dropbox.com/u/326175/Untitled-4.JPG">
They are kind of spoilers but I'll let it slide.
Edit:
Looks very nice, are you building a point and click adventure?
Can't tell. I don't plan that far ahead anyway. Figuring out core gameplay elements are part of the designing process? Who cares about that stuff. :3
Dunno, it'll be cool if I end up spending time on it.