Yeah, we have a redstone energy cell setup in the overworld, but actually setting one down in the nether probably wouldn't be too bad of an idea either, holy crap. Didn't even think of that. Also yes, we have 2 chunk loaders going, one in the nether and one in the overworld near our whole setup. And I'm using the Direwolf20 pack, I get redstone engines to power some things but not others. Honestly I can't remember for the life of me what I used them to power, we usually just use magmatics and hobbyist engines now since I got railcraft fixed up.
Also Magmatic engines don't 'overheat and explode' but they overheat and shut off. You have to hit them with a wrench to get them working again, or do what direwolf did in the video up there and use iron gates to adjust the stuff accordingly. I'll probably have to mess around in creative to see how to build those and such...
Oh, we are using redstone engines to power the pump and the liquid transposer in the nether. In the overworld we have magmatic engines set up, used to be hobbyist engines and I put a redstone energy cell inbetween so those engines can power that when there's downtime. But I think I am going to go ahead and try to get an energy cell in the nether, that would seem to work well.