Algodoo getting over it 3 should be out some time soon. The controls are more similar to the real game, so it should be a lot smoother. The map is also more accurate.
For one, those objects would undoubtedly get pulvurized over time (though that'd still spin the turbine), but it's possible that portals disintegrate over time instead of whenever stuff goes through them.
It's decent but it's also too compact. Next time you should increase the spring length or make the parts have no self collision so that it can squish. Also, this is optional, but you should try to give the springs damping. It bounces like there's no tomorrow.
The reason I have come to this conclusion is that the scene runs just fine until scroll mode is enabled, and during this lag removing the CPU only adds about 5 FPS but removing the GPU adds a good 20.
I wonder if I could reduce the lag and improve readability at the same time by making the screen lower resolution.