This is probably a dumb question, but I'll ask it anyways. Does turning the display off and then running the Ultra Intervalometer script at the same time damage the camera (Canon A530)?
It shouldn't. If there was something known to damage cameras, it'd either be fixed or big fat warnings would be posted. Some cameras will turn the display back on as soon as the shutter is half pressed, but the A530 shouldn't, since it has an optical viewfinder.
Turning off the display when running an intervalometer is pretty common, since it extends the battery life.