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In "Faster Than Light" each upgrade of the ship's engine increases dodge factor, but also it increases you FTL speed, which starts at 1 and goes up to 2.75.

What is FTL engine speed good for?

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up vote 16 down vote accepted

It's not your FTL speed, but the rate your FTL charges at while in combat.

http://ftlwiki.com/wiki/Systems#Engines

Upgrading improves dodge chance and the rate that your FTL drive charges

Faster charging is useful when you want to get out of a sector sooner without fighting.

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