ScienceDaily reports that researchers at the Georgia Institute of Technology have developed a strategy to 'capture, store and eventually recycle carbon from vehicles to prevent the pollutant from finding its way from a car tailpipe into the atmosphere. Georgia Tech researchers envision a zero emission car, and a transportation system completely free of fossil fuels':
Technologies to capture carbon dioxide emissions from large-scale sources such as power plants have recently gained some impressive scientific ground, but nearly two-thirds of global carbon emissions are created by much smaller polluters — automobiles, transportation vehicles and distributed industrial power generation applications (e.g., diesel power generators).
The Georgia Tech team’s goal is to create a sustainable transportation system that uses a liquid fuel and traps the carbon emission in the vehicle for later processing at a fueling station
Also of relevance, read TechReview's piece on 'A Better Way to Capture Carbon'
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