I think that electrics with the right class restrictions are made for scale boats, especially with the cost and limited selection of big nitro engines. That said, I can't see how electric and nitro powered boats can compete equally. I've been working on some possible setups for both 7.5 and 11 cc nitro engines. The electrics always end up being too fast. You need to make a rule set that limits current so lower cost equipment can be used without melting. Propeller restrictions are one way. The problem is that electric motors don't quit when they are overloaded. They keep going until something melts. That means while we set the average shaft power at say 3 hp for a 7.5 replacement, the electric motor has no problem producing 4 hp if needed. A nitro motor would stall. The best thing about electrics is that the rules can be written to use existing hulls. My boat is a 20+ year old Dave Frank 8255.
The gas boats are potential solutions at the other end of the nitro engine problem. Here, you need a completely different set of hulls from the historic 1/8 scale. The class offers many of the electric's advantages. However, the boats are big. I think this year is the beginning of good racing after several seasons of building.
I'm excited about both gas and electric. It will take testing and development to see what is needed for both rule sets. You are at the forefront nationally.
Lohring Miller