Reuters reports on a test project to turn dog feces into fuel.
It could be fed into a "digester" to obtain methane. The article states that dogs and cats in the United States produce about 10 million tons of waste a year...might as well use it for something productive.
I was quite impressed with San Francisco's aggressive recycling plan when I visited last year - in addition to bottles, cans, and paper they even have curbside collection for compostable kitchen scraps.