The s/that/this/ syntax is not, of course, a regular expression. The regular expression is the thing that might go into the "that" part, an expression that can match against several different inputs. If all it supports is literals, it's not really worth calling it a regular expression, in my opinion.
The article expresses this like so:
Some experimentation shows that it isn't a full regular expression engine, it will only do straight word substitution.
I think this is stretching it; sure all literal strings are regular expressions, but if that's all there is (i.e. no alteration, repeat etc), then why call it an RE at all?
Am I just being grumpy?