While researching the problem, I found that these are all glitches associated with running on XP without DOSBox. The thing is, I am running on DOSBox, and these glitches are absent when I move away from water or when in a dungeon. Does anyone know if there is a fix? Is anyone even suffering from the same problem? I'm wondering if I did something wrong during installation (I used the alternate guide, if that has any sort of relation to the problem at hand).
If not, I suppose the problem is nothing more than an annoyance, but I'd be sad argonian indeed to stray from the shores.