See that "Categories" list...

I added that in myself :) I totally guessed the code required. I was hoping to use the %categorylist% variable...but when I did, all it added was the link for "All" categories :/ Oh well..until I figure out the proper way of adding this function...this will do.

Go me for hacking the skin! :D

Edit: Did some more modification of the sidebar, and there's more where that came from as long as I can find some interesting features to add.