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Capacitors are able to charge and discharge more quickly than batteries, and can do so hundreds of thousands of times. Batteries, on the other hand, are able to store more energy than capacitors. There are also electric double-layer capacitors (EDLCs), otherwise known as supercapacitors, that can hold battery-like amounts of energy while retaining the charge/discharge speed of regular capacitors. EDLCs incorporate liquid or gel-like electrolytes, however, which can break down under hot or cold conditions. Now, a new solid-state supercapacitor developed at Houston's Rice University is using nanotechnology to get around that limitation.
Full article, here.
Perhaps it'll be this technology that eventually replaces internal combustion engines. As it is, current hybrids and battery only cars seem a little like the next betamax.