I think engine weight is the big issue. So they are not good on a normal sporting family boat, but maybe on a barge intended to haul a bunch of stuff or people.
If you are up north, there may be issues running them in cold temps too.
With the super high ratio reduction gearbox, I still think a deisel boat could be an interesting beast.
Gben was talking about building a deisel boat because he has a spare motor laying around from a backhoe or something. I'll bet one of those little 3 cylinder bobcat motors could really turn a 3:1 gearbox!!! ... If you can slow it down enough to idle the prop. You don't want to be running the hill at idle!.... Or do you? LOL
Here is some previous talk about deisels I found using the search feature.
The first is:
Why No Deisels?
For more info, find one of Gbenzx's posts and click the link that says the number of his posts. That'll take you to
all his posts. Browse thru there... he posted a lot about deisels. I think he had a family situation that caused him to abandon the idea.
I hope this helps, and if you end up building a deisel boat, be sure to tell us of your progress here! It'd be a fun boat to watch being built.
matt.