Currently it is not possible to create a good storm simulation using the current Smooth Terrain water. This is because of the current constraint of the max size of the water we can make the waves. Understandably this feature would require this fix of the water level problem that Roblox currently has with using water. Essentially when a user if “floating” in the water his/her character does not move up and down with the motion of the water. So being able to have more realistic waves with a bigger size is something that CANNOT be done currently.
When the terrain water is improved we can have a much better use for the water such as gameplay revolving around anything on the water. Such as pirate games or any boat related games for that matter. You can even utilize this in survival games. Though the max size of waves should and needs to be increased along side the fix so that users characters can actually follow the motion of these waves.