You craft the new Redstone Furnace just like a normal furnace but with a piece of redstone in the middle of the crafting table.
You will need to activate the furnace by putting redstone next to it, just like you do when you hook redstone
to open a door. The furnace can be used without redstone but will function as a normal furnace.
To clear something up, the furnace still requires a burnable material just like a normal furnace. The only difference is that this furnace is alot faster when it's powered by redstone.
EDIT: ModLoader is required, i forgot to tell you!
Please inform me of any bugs you find and i will do my best to fix it.