I put the "dip" into the ceramic bowl that comes with the fondue kit and stick it over he tealight candle - you'd be surprised at how much that keeps it warm! On times I've had to extinguish the candle because it's made the dip boil!

I'm not sure what kind of a fondue set you have but the alcohol might be in reference to the type of fuel to burn - mine sits over a tealight candle....