I sort of agree with ZB, that is I don't like lens flares on princepal, in the game you are not a camera, but rather you are a human in a cocpit, there for you will not have lens flares,
HOWEVER; I do think this is a very good implementation, and it is great to have the option.
as for the thruster glow thingy, I disagree, the point in shadow isn't very good, I see it giveing false positives all the time, and I am sure it'll be slow as hell,
I was thinking it might be a good idea to use this function to have a sort of dynamic shadowing were you test the center of a model and if it is in a shadow you don't light it, big ships would not be affected by this, little ships wouldn't cast shadows, the effect you would have would be the smaller ships getting shadowed by the larger ones, imagen several bomber wings going after a jugernat as ther aproch they enter the shadow of the ship and are only lit by there glow mapping and weapons fire