One difference is that my version allows mute playing, so if you had no soundcard or it's in use ("hogged") you can still play. The original Generator does crash in this case. Nothing you probably care about but I once did.
If you want that Generator doesn't hog your soundcard, either you drivers have to support this natively or you need to use SDL along with ESD or whatever sound driver supports sharing of the sound device.
The section "Additional features" lists advantages over the original Generator. If you don't care about any of those, there's probably no reason to use it.
All other applications may work fine but none of those seems to be interactive and lag is most annoying for interactive applications. For others it might not even be noticable. However I obviously cannot remotely diagnose this. How much CPU time does Generator use? How bad is the lag? Seconds? Less than a second?
I already understood that you have no ~/.genrc file. As said, this file will be created by the original as well as the patched Generator if and only if you save the options in the GUI. Otherwise it won't. What I'm talking is Emulation->Options->Sound under "Bounds". The
settings "Try to buffer this many fields of sound" and "Make sound buffer this many fields of sound" control the sound lag. If you set them to high, there will be lag, if they are too low the sound will skip or have audible blips. You could try to set them to 1 and 2 for those. If I knew the perfect setting I'd make them default. Some people have trouble with lower, others with higher values. It depends on drivers, systems speed and what not.