Well, the guns employed by Porre are certainly more advanced than muskets. They look to be flintlock or more advanced. Personally, given the ease with which the weapons are fired, I am inclined to think them cartridge or maybe caplock (if the graphics indicate shells flying out of the guns when fired, then definitely cartridge, but I can't remember that level of detail). The weapons employ smokeless gunpowder and are breach-loading (as opposed to muzzle-loading, like muskets). Given the frequency with which the guns may be fired (several times a minute), this implies that they are not single-shot either, but multi-shot (or revolver based). Given Lucca's processing of the Sun Stone (by vacuum packing it into a cartridge), it appears that the weapons might have been magazine fed (or that magazine like concepts were around).
As for the Porre soldiers stabbing with their guns, that probably has nothing to do with the weapons themselves but rather the military mindset. WWI rifles were reasonably accurate, but the military commanders believed that the war would be won at bayonet point. Thus, despite being less effective, the bayonet charge was highly valued by those commanders. Such is generally seen to be the result of militaries (and nations) always preparing to fight the last war (for example, after WWI France built the world's greatest military trench fortification system along their boarders... the German tanks had no problem rolling right over them come WWII). Before WWI, bayonets were more important, so generals thought they were still important, ignoring technological developments (like the machine gun).
As such, the Porre military using "bayonets" is very likely an artifact of rapidly developed technology. Indeed, 1000 AD Porre might not of even had anywhere close to those sort of weapons. A time traveler may have introduced such devices but the effective use of technology is hard to pass on.
All in all, the level of technology is fairly mid-20th century, with a dash of steam punk, a cup of sci-fi, and a pinch of anachronism thrown in for fun.
I suppose, if we are assuming 20th century level technology, Laser’s really aren’t too out of place, particularly in a wacky R&D concept like the Dragon Tank (still, how are LIGHT Amplification by Stimulated Emission of Radiation devices “dark” magic? What, do these lasers make those hand stamps at Disneyland glow?). Lasers might not be practical weapons, but they are still cool.
Of course, the dragon tanks “lasers” not very laser-like. It travels at less than the speed of light and very much in a visible, contained beam, alike to a blaster bolt from Star Wars. I still maintain that this laser, and even Robo’s Laser (which is way too big to be practical), may not be the same as what we define as lasers.