1. Is the eth2 network regarded as "local" by SME Server? If yes, dansguardian will be available for use.
Of course not. Captive portal clients are not trusted (btw, the interface to look at is tun0, not eth2 as chilli will mask the traffic as incoming from tun0). You'll have to configure dansguardian to bind on tun0 (10.1.0.1 is the default IP), and to accept requests from this network.
2. Can CoovaChilli be customised to redirect to port 8080 [dansguardian], rather than 3128 [squid]?
Yes, it's possible, you'll have to customize /etc/chilli/conup.sh and /etc/chilli/condown.sh scripts. They won't be overriden on upgrades. This script will open needed ports and redirection when a clients connect, avoiding the possibility to bypass the authentication with squid.
3. Does the dansguardian port blocking work on the eth2 network? Otherwise just pointing the browser to 3128 will bypass the filtering.
No need to block squid, it's blocked by default. Depending on the key WebRequest, which can be 'direct' or 'squid', squid may be opened for clients, but only once they are authenticated (if the value is 'squid').
Hope this helps, just let me know if you can get this to work. Unfortunally, I do not use dansguardian, so I won't be able to test, but I may be able to help with some assitance.
Cheers, Daniel