FOSS gamedev and creative worlds

In the new lua_api.txt it says that you can play sounds so just the player can hear them, or so everyone can. So if I am standing still and a player walks near me, will it fade in and out?

I think no

That's what I was thinking. I think celeron is stuck on water because you don't step on it. And it still plays the sound for block beneath it, if it's shallow water.