I cannot attest to why a transport would fail more quickly because it's reading non-redbook, but stranger things have been known to happen. Maybe it has to work harder, maybe it does a better job with checking CRCs and it tries to re-read pits that it originally failed. Maybe this causes it to fail 10% faster. It's just wild speculation on my part.
However, what I can say without speculation is that not all players can read CD-RW. Most players these days can read CD, CD-R, and CD-RW, but with older players CD-RW is a different animal.
http://en.wikipedia.org/wiki/CD-RWThe relevant section is here:
"Written CD-RW discs do not meet Red Book or Orange Book Part II standards for prerecorded or recordable CDs (e.g. reduced signal levels). CD-RWs have considerably lower reflectivity than CD-Rs and commercially pressed discs, requiring a more sensitive laser optics. Also, CD-RWs cannot be read in some CD-ROM drives built prior to 1997. This is why CD-ROM drives of the age must bear a "MultiRead" certification to show compatibility."