Do you still need specific materials? Or does it simpyl reduce your level with the Engineer?Sort of. If you get an effect you don't want, you can use favours to choose the one you do want. You need to build rep to get those favours though.
Not bothered with this feature myself, but I guess I should really go and craft my 3 pulse lasers with "thermal" I guess

And my multicannons with what ever fits there too!