The gear drive is hidden inside the down tube and lithium battery packs are designed in water bottles. I guess the officials are walking the line pulling the bottles out of their cages before the race begins.
This thread on eng-tips.com has more details on bike motors - plus a link to the longer article with other comments, plus an alternative scheme where the magnets are inside the hub around the rim, rather than using a small geared motor hidden inside the tubing.
http://www.eng-tips.com/viewthread.cfm?qid=402911
Hmmm... Mr Bean rides...
https://www.youtube.com/watch?v=5cioiZ54s2k