For people asking about the water reflections, you can try a very early version of my attempt to do something about the water reflections here:
http://hosted.filefront.com/Zeroed/
It basically blurs them really badly

Its still really low res, but now it looks more like it's *supposed* to be low res - far fewer stair-step effects
Unfortunately, there is some shimmering in the middle distance (due to the fact that the source texture is really rather low resolution and pixels are popping in and out of it). Also, I haven't figured out how the shaders for displaced water (like when you are swimming) work, so reflections aren't blurred there yet.
There is a screenshot here:
http://gallery.filefront.com/Zeroed//878038/
You can try it out in this early form. It isn't really a great solution though, be better if we could modify OBSE to adjust the resolution of the reflection texture.
...