Not really, it just assumes on the economic principle that your costs and your revenue will converge. In a free market, if you are spending 50$ for a chance of winning 100$, everyone else is incentivized to spend 51$ and more to have a higher probability than you. Eventually the people spending 99$ win every block.

If the costs don’t manifest themselves in the protocol, they will be external costs. Hence, “obscured proof of work”.

In other words, the problem is not that Bitcoin costs us X per unit produced, it is that we value Bitcoin at 8000$ per unit.