Alasdair, Interesting the BluX smoke unit. I have seen them before but didn’t follow up mainly as they are in Australia but, now you mention it, I’ve tried to find a bit more on them. I agree it is not very clear how they work. They are described as “water based” but you have to use a special fluid, rather than tap water. They do use a wick and they do involve heat so I suspect it might be some kind of heating element that is heating a water based emulsion. So it will share some of the downsides with the old oil heater types, i.e. using a higher current and generating heat, but it will be a lot safer than them as you are not using neat oil. It does seem to produce a good quantity of smoke. It may not be as good as the nebuliser types at following engine speed and obviously won’t be as convenient as simply putting some more water down the funnel to top it up.
I’ve done a couple of reviews recently of a UK produced smoke generator of the nebuliser type which you might want to consider as well. I was going to send you a link to his web site but it is down at the moment for refurbishment. This is his YouTube page though where his products are demonstrated:
Denes Designs
Prop shaft inboard ends can be lower than the water line however you must be aware then of the need to ensure the shaft is better sealed. Bushes need to be a good fit on the shaft, sealed ball bearings are better, and thrust arrangements need to have the minimum clearance. If I had to have an inboard end lower than the water line I would use sealed ball bearings rather than bushes, but that’s just me being over cautious. When I built the Ben Ain this was my first attempt:


But I didn’t like it after tests in the bath so I ripped it all out again and fitted a sealed ball bearing shaft arrangement.
Have a chat with Prop Shop for shaft and propeller suggestions or JoTiKa, who supply Caldercraft kits.