I'm using an AAZ with the electronic advance in my mk2 conversion.
As I said earlier in this thread, I tried to make a circuit to control the advance but my start of injection sensor (the one pictured above) was stuffed and so in the end I just decided to "suck it and see" and it runs perfectly, plenty of power even on the standard k03 with just some extra fuel and boost.
From my understanding of the electronic "advance", the solenoid can only reduce the amount of pressure in the advance mechanism and therefore retard timing when it's "on", it cannot add extra advance.
Of course this is assuming that the pump's pressure reg and timing springs are the same as in the non-controlled versions.
In the next couple of months I will see if I can do some more investigating on this pump as I'm just about to rebuild my Caddy's AAZ with an 11mm head, VNT turbo etc. to go drag racing with in the VWDRC. While I'm rebuilding this pump I'll try and look at the electronic advance version to see if I can spot any differences.
But as I said earlier, it runs very well with the advance control disconnected and has done for ~6000miles now, and I don't nurse it

Just as an extra note, while I was getting some parts from the scrap (junk) yard at the weekend, I picked up another one of those sensors from a 1y, maybe this one will work!
Mark.