Newthought, now that I've got you using your head instead of your mouth (or finger, since we're typing...and isn't that appropriate?)
you're really on a roll. I like the idea of good/evil scales. Unfortunately, from what I've read, the Devs are against dividing the game into good and evil. But...perhaps if we shift the terminology a little.
I have one suggestion for the terms to use, Orthodox/Heretical (Please note that I'm using these words for effect more than for purposes of precise meaning.)
In Orthodox dominions, populations are devout, strong in the Pretender's faith as it was originally spoken and interpreted, and fanatical in their commitment to the word of their God. Witches and heretics are burned at the stake, and sinners are often stoned to death for even-from the perspective of outsiders-minor infractions. There is no separation of church and state. Prayer-calls are heard throughout the cities, laws and rulers derive their power from sacred teachings, and the most powerful position in all the land under God is that of High Priest or Priestess.
Orth 1: temples are 25% less expensive to build due to tithings and missionaries (300g for most nations, 150 for Pan and Man), Bless grants an additional +1 to Morale, +0.1 to Growth due to large families of believers being held in high esteem. Income 3% less (-3%) Resources 5% less (-5%) due to more land being held by the Church, more resources going to support the priesthood (none of whom have day-jobs), and more money going to support monasteries.
Orth 2: as Orth 1 but +0.2 to Growth and +3% chance event is good, as prayers to the Pretender for good fortune are granted (that and they burn those old hags that keep cursing my troops). Income -6%. Resources -10%
Orth 3: as Orth 1, 2, except temples are 50% less expensive to build, Bless now grants +2 to Morale (for a total of +4), +0.3 to Growth and 6% chance event is good.
Income -12% Resources -15%.
Heretical: In Heretical Dominions, the people still worship the Pretender, and many are extremely devout, but the population is divided into many different schools of thought, each convinced that their way is the "right" way to worship. All are welcome into these lands, and all are welcome to leave. The laws and power in these lands are upheld by secular authorities. Their is not one Church, but many, and the Churches pay taxes just like everybody else. They are also fully responsible to the law, just as any civilian body or business. The Churches takes advantage of this as well, requiring priests to not only spread the Word but to serve the church in productive, even menial, ways. Although direct violence by the Church against so-called "unbelievers" is much more rare-or even unheard-of, still this is a volatile, violent place where all manner of sects compete against each other, both with their words and in bloody street-brawls.
Heret 1: Temples are 25% more expensive to build due to followers expecting to be paid for their labor (500g for most nations, 250g for Pangaea and Man). -1 Bless effect to Morale due to soldiers being less willing to give up their lives in the name of their Faith. Growth is unaffected but Research is -1 due to conflicting views about the nature and appropriateness of magic, and the lack of organized religious schools. +5% chance for a random event due to increased religious turmoil (chance it's good or bad is unaffected). Income +3% Resources +5% due to harder currency (the church doesn't hoard all the silver and gold in the form of religious icons), banking (usurage), and the ready disposal of goods and lands.
Heret +2: as Heret +1 but 10% chance for a random event, Income +6% Resources +10%.
Heret +3: as Heret +2 but Temples are 50% more expensive to build, -2 Bless effect to Morale (Bless grants no Morale bonus under Heret +3) Research -2, 15% chance of random event, Income +12%, Resources +15%.
I think such a scale would be very appropriate for Dom3, especially with the impending introduction of Gath-which should be dealing with the Nephilim, according to my information.