Genesis,
The LC ballast is not regulated (light and color will change as batteries drain). The higher powered WA ballasts are regulated, but the 10W ones are not. And NiMh batteries are typically 1.3-1.35v under load (not 1.2 as rated), so the actual voltage is probably what fresh alkalines deliver (minus load drop). Possibly a bit higher, but not enough to kill the light IMO.
Some general info about the UK LC100 and WA Solarc 10W lamp/ballast:
Battery voltage will affect brightness and color temperature. As voltage sags brighness will go down, and color temp will get COOLER (more blue). Kinda backwards from incandescent lamps which get warmer (more yellow-orange). Ifukuda, was your light a lot brighter, and warmer in color? That could indicate an overdrive problem.
WA says its bad to run the light at more than 11W or less than 8W output. 10W is optimal for the rated life. Lower will last longer, as long as it's more than 8W. A 10% overdrive (11W) will shorten the lamp life by 50%. The lamps is rated for "up to 1000 hours" or 500 strikes, so turning your LC on and off repeatedly is not a good idea. If the batteries are weak enough to have trouble striking the lamp, replace them. And when the light gets dim enough to flicker, TURN IT OFF. Running it until it goes dead is BAD for the lamp (especially with Alkaline cells).
I'm not 100% certain, but I believe the LC uses the 10.2V WA ballast. UK specs rate the light at 10V/1.25A, so it seems to be the lower voltage ballast. 8xC Alkalines do = 12V, but Alkaline batteries are poor at delivering any kind of reasonable current (they work best in devices that draw only a few 100 milliamps). Under the load of the LC ballast they are probably dropping to 1.2/1.3v per cell.
NiCad and NiMh rechargeables start out at around 1.2/1.3v per cell, but can deliver several AMPs of current with no significant drop in voltage. They also hold their voltage better over time (very flat discharge curve) so light stays more consistent.
One possible problem with NiMh is that fresh off the charger they can deliver 1.4/1.45v per cell, and if the LC is using the 10.2v ballast as I suspect, then this would be over-driving the ballast/lamp. This initial voltage is not just no current surge voltage and will last a while even under load (at least several minutes), but how significant this overdrive is to the LC is unknown. WA states that a 10% overdrive will shorten the lamp's life by 50% (but that's with continuous overdrive). This may be why UK chose lower capacity NiCad cells for their rechargeable pack (NiCad fresh voltage is 1.3/1.35 and falls off very quickly to 1.2/1.25).
That having been said, I too use NiMh batteries in my LC and have had no ill effects. In fact, I find that the LC performs much better on the NiMh. Start up times are significantly less, and both brighness and color temp are more consistent. I modded mine to run on AA NiMh batteries (because I already have a lot of them) and with 2300mA batteries I get around 2 hours run time (maybe a bit less). It's much lighter in weight as well (almost neutral in salt water). Also, the batteries are held more firmly in place by my PVC & duct tape kludge holder, so a bump in the wrong direction doesn't cause the light to extinguish. This little quick and dirty AA mod worked out better than I had expected.
Aloha, iG