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Sounds pretty good to me. It takes the Rage and Mana systems and tweaks them into something more strategic. You have to think up want you want to do and work towards it, while taking into account your lowered or raised defenses.

A drawback would be that it is still a parallel of rather simple systems.

Essentially your high damage skills only become unlocked as you reach an extreme. Like an Over-Drive. Perhaps exploring the system design would unlock more strategic abilities.

For example, each skill adds or subtracts from the state bar with rather atypical numbers.

Fire - State-=3
Slash - State+=4
Scorchslave - State-=35
Blade Finale - State+=40

Fire: State 30-60
Slash: State 30-60
Scorchslave: State 15-20
Blade Finale: State 13

Blade Finale would do massive damage to all enemies, but reaching State 13 would take some skill maneuvering. Because of the amount of maneuvering, this would clearly be a skill meant for long fights against multiple enemies. Players would probably feel a sense of pride when figuring out the fastest route to a skill. Scorchslave's window is smaller, and thus the reward for reaching it is probably less than Blade Finale, but it is easier to hit the target with any number of skills.

Adding in an option to remove and add skills to your list under a cap could also help maximize strategy for the players, leading to a rewarding feeling upon discovering a new set-up or uncovering a new skill.

Adding cooldowns to this will also maximize strategic importance. It would also allow you to make these 100 or 0 state skills do no state change, but they'd go on cooldown. This would leave you at your critical point longer but without the benefit of access to the powerful drive skill. You would probably want to limit these skills to one per.

Further, this system can be enhanced with penalties or block-offs for going above 100 or below 0. Penalty could be returned damage, flat damage, reduced character damage, etc. Or you could just make it so skills that will take the bar into this "Red Zone" just can't be used.

This could make skills that are in the 0-10 and 90-100 zone much more difficult to reach. A skill that activates a powerful Mighty Guard but requires State 98 would be a tough skill to activate. With this you could even breed really low damage skills that + or - 1 or 2 from the state which are simply follow-into skills.

This could all be taken further into categories such as Rage, Magics and Stamina, with some tweaking. Especially on the defensive side. A rage bar could be divided into defensive and offensive, where your - brings you towards the defensive skills and your + bring you toward the damage. At 100 you get +100% attack and -100% defense. Flip flop that.

Your innovation will lead you further adaptations of this system.

Hopefully I've helped you see the potential in this system, or even unlocked it's potential for other readers. As you can see, what you've conceived is quite potent in what it can do. I definitely commend you on thinking it up, and am jealous I didn't think it up first :3

I'm tempted to ask for this script in the RGSS/2 Request forums with levels of tweaking so that we might see this innovative system in future games.