I dug out my first TSTE today to figure out why it stopped starting years back. I had many projects going on then and still do but figured it was time to pull it out of storage and start on it. I hooked up a battery and went to bump the key to the on position and everything lights up just fine. Once you go for the start position I can hear what sounds to be an electrical short directly behind the steering wheel. I remember the smoking column problems with other cars in the past but it doesn't sound like it is coming from the ignition switch which was my first assumption. It actually is before it so I wonder if there is a short to ground back feeding the ignition switch or something else. The starter does not get power by the way. Has anyone also dealt with this situation?
Smoking steering column from directly behind the wheel is usually a bad/burnt up multi-function switch...the one that runs the turn signal/cruise/hi-beam dimmers/etc.
Not sure why that would keep your car from starting though. Have you checked all your fuses? Starter relay? ASD relay? Main grounds?