Georg,
Renumbering/relabeling equations is useful when you have a large
document (like a book) with very many equations (for example, more
than fifty). You quickly run out of names to use for labeling the
equations. So you might find that it is easier to simply number them
according to the section in which they appear. Every once in a while
you need to insert a section in the middle of other sections, or an
equation in the middle of other equations, and a manual labeling
scheme becomes messed up. This script helps to clean things up when
needed.
Using the section name makes the size of the label unpredictable,
since some sections may have long names. That will mess up the
display of equations on the screen. Truncating the section name may
make it non-unique. However the section numbering scheme is always
unique, which is why I picked it.
Gerard