Exhaust gases blow the water out of the waterlift and overboard. Some installations will flood the engine if the engine is cranking but not running. The much lower volume of gases exiting the engine when it is not firing may not be enough to do the trick. I did a generator installation once where the entire genset was below the water line. We put a drain valve in the waterlift you could open when troubleshooting starting issues. No reason you could not do this for an A4.
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