I just watched a documentary about alternative fuels and found out all cars built after 1996 have the ability to run on ethanol. they just need to have a converter installed for the computer.(I also didn't know cars had computers in them.). anyway, I'm definitely having my car converted (as soon as I get one). it's cheaper than gas and possibly better on the environment!!
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A car can run on pretty much anything if you just put the right "converter" on it.
There are cars that run on water/hydrogen and all sorts of things.
Elon Musk of Tesla Motors is making good progress on fully electric cars though. The times where we burn things in cars will pass, and for many it already has.0