What fuel does the electrical engine use

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As the name suggests, it uses electricity, more specifically IC2 EU.

As for the slots, they aren't actually slots, just a graphic.
 
The only thing that I know to fit in the lower slot is a IC2 battery which does not last long at the 6eu/t the engine uses. As for using the engine just wire it up to a batbox or similar low volt energy source such as a generator than apply a redstone signal to it.

Please be aware that electric engines are horribly inefficient compared to other engines unless you have a lot of EU to spare.