STYLE_Shaded still does not seem to work at all like Graf's description, and unless I'm doing something terribly wrong, I'm at a loss.
It appears that index 0 shows up as fully-opaque instead of fully-transparent. Now I have two full-opaque colors, which is not good.
I'm using this image:

And the end result is this:

Am I allowed to define .png transpacency with this renderstyle, at least? That could provide a temporary solution though judging from Graf's description on how the renderstyle should work, something's definitely wrong here. Oversight, perhaps?