In all present road vehicles, braking is achieved by an absurdly crude and wasteful method: The kinetic energy of the vehicle is turned into heat by friction in the brakes, where it is (literally) thrown into the wind.
The main benefit with battery electric hybrids is regenerative braking. And with electric vehicles the mechanical energy has to be converted to electrical and then back to mechanical. There are losses in efficiency in this conversion.
What I am curious about is why I cannot find very much information about mechanical kinetic energy recovery systems (eg storing the energy used in braking in a flywheel). I found some stuff about F1 using something similar with a cvt controlling the flywheel. however I cannot find any information on efficiency gains nor can I find anything pointing to anyone (major manufactures or small startups) trying to develop such a system. edit: http://green.autoblog.com/2007/10/31/more-details-about-the-flywheel-kinetic-energy-recovery-system/
I cannot help but think that the efficiency gain would be huge (eg energy would not be wasted starting and stopping, essentially highway mpg would == city mpg). Not to mention the possible improvement in performance (eg have power delivered to the wheels from the flywheel AND the engine) while reducing the wear on the brakes. While yes, you might be carrying around an extra 30-40lbs, the energy needed to move that weight I would imagine would be far surpassed by the amount of energy it could store and reuse eg http://en.wikipedia.org/wiki/Rotational_energy
If the efficiency gains are large it might not be a bad idea for myself to work on creating such a system that can be easily adapted to any automobile (would not make sense for gas/electric hybrids since they already have regen braking).
Still, it looks like the small companies that are working on it do not actually have a product that is out to market yet (just F1, nothing for consumers yet). Probably quite a bit of room for some competition. I need to get a crappy car and a few thousand dollars to develop this now...
EDIT: here are a few high level mock ups of current systems (without a kinetic energy recovery system) and with a kinetic energy recovery system using a flywheel. Ideas on how it can be improved... let me know in a comment.

Eg when you first start driving or when there is no energy in the flywheel:

Used for braking/slowing down:

Reusing only the energy stored in the flywheel from braking/slowing down:

Using energy from both the engine and the flywheel for added efficiency and power:

other notes:
"A flywheel system offers up to twice the efficiency of a battery storage system. The overall in-out efficiency of 65 to 70 percent compares to 35 to 45 percent for a hybrid battery-electric system. That is because it's an entirely mechanical system. In a battery system, kinetic energy has to be converted back and forth to electrical and chemical energy, thus the efficiency losses."
"The energy stored in a lightweight steel and composite flywheel spinning at over 60,000 rpm can be used to accelerate the vehicle. The FIA defined the amount of energy recovery for the 2009 season as 400 kiloJoules per lap, providing an extra 80 horsepower over a period of 6.67 seconds. Its low weight, about 55 pounds, is also very important in motorsports."
article from 1993
what would be cool would be to also implement is a type of cvt. eg totally replace the friction brakes and depending on how hard you press on the "brake" pedal the higher ratio the cvt has thus the more quickly the energy will be placed into the flywheel. likewise the "brake" pedal could also control how quickly the energy can be displaced back to the wheels. granted this can already be done with the regular transmission.
edit: it's probably best to leave the engine in gear while decelerating
"When coasting with the engine running and manual transmission in neutral, or clutch depressed, there will still be some fuel consumption due to the engine needing to maintain idle speed. While coasting with the engine running and the transmission in gear, most cars' engine control unit with fuel injection will cut off fuel supply, and the engine will continue running, being driven by the wheels. Compared to coasting in neutral, this has an increased drag, but has the added safety benefit of being able to react in any sudden change in a potential dangerous traffic situation, and being in the right gear when acceleration is required."
yes, there will be more drag, but I doubt it would take more energy than the energy used in fuel to keep the engine idling.
The optimal solution would be similar to the VW Lupo (I think) that would on the fly be able to turn the engine off while decelerating and was able to start the engine automatically within like .5 seconds... No reason to run the engine when it is not needed.
