A patch for Penguin Adventure to have SCC music would be AWESOME!
I second souch a petition/idea 
You mean like an enhancement by SCC, like the Sega (emulators) enhance the PSG with FM?
Theoretically I guess it could be done. 3 SCC channels to mimic the PSG channels (except for noise) using a random (or calculated/selected from the PSG data?) wave.
Then there's 2 channels left for echo/reverb.
Don't know if it would really sound good, though. But it would be funny to realize. 
Ok, I see! Indeed, re-arranging would probably get better results than simply enhancing it.
Without managing to extract the music data out of the game somehow and converting it to (for instance) PT3 or MIDI, that would be a quite tedious job though.
Replacing PSG channels for SCC by hooking the play routines is a nice trick. But it's just that. Doing the Jan van Valburg maneuver is the next step. You know, replacing the score and replayer all together. Like Jan did on Vampire Killer. Meanwhile, I enjoy PSG tunes