Yep, this actually works. And quite fast actually.
A little note about my dynamo engines in general... they now store heat whenever you place a block that has the material of lava right next to it (in all six directions). Same things goes for water, except, that will lower the heat, however, increasing that chances that the engine will 'freeze' over. Meaning, you have to heat the engine up. If the engine gets too much heat it waits for a little bit (for the user to come regularly check on it), then explodes like it usually would. However, if the engine is frozen, you won't be able to click on the engine's gui. (I plan on making the engine explode almost instantly if it detects water and lava next to it.)
If you plan on using the Electric Dynamo Engines at all, I recommend using the Tier 4 engine as opposed to the other engines. Mainly because all other engines are unstable, while the tier 4 engine is.
EDIT: I was tired when I wrote this, so please excuse any mistakes.