I don't get this article. Dithering is generally for limited palettes. JPG, PNG do not have limited palettes. This feels like a strawman.
https://www.lowtechmagazine.com/2018/09/how-to-build-a-lowte...
They do use dithering with JPGs and PNGs on their "solar-powered website" variant, which I won't link-to so as not to contribute to draining the battery with an HN effect.
The first image I found to compare from the two versions of their own website... the dithered version is 65K and the original is an incredible 6.2MB... but that's at least in part because the original is 5053x3581 pixels and the dithered is 1213x600! First picture at https://www.lowtechmagazine.com/2021/11/fascine-mattresses-b... is the "non-dithered" variant. There may be other compression mis-choices on the original JPEG as well. To suggest this size difference is due to dithering would be misleading!
Size and compress your images properly (including JPG lossy compression) to save energy resources is good advice; I think the OP is probably right that dithering is not a very useful tool in that toolkit.
It makes me lose some respect for lowtechmagazine, when they go for more style over substance in this particular case, it makes me wonder in others.