This is an extrinsic definition of "information" which is task relative, and has little to do with any intrinsic processing rate (if such a thing can even be defined for the imagination).
The question of why does biological hardware capable of very high "intrinsic rates" deliver problem solving at "very low extrinsic rates" seems quite trivial. Its even a non-sequitur to compare them: properties of the parts are not properties of wholes. "Why does a gas move at 1 m/s, when its molecules move at 1000s m/s..."
All the 'intrinsic processing' of intelligence is concerned with deploying a very large array of cognitive skills (imagination, coordination, planning, etc.) that are fully general. Any given task has requires all of those top be in operation, and so we expect a much slower rate of 'extrinsic information processing'.
Consider how foolish the paper is to compare the intrinsic processing of a wifi network with the extrinsic task-specific processing of a human: it is likewise the case that if we set a computer the challenge of coordinating the solution of a task (eg., involving several LLMs) across a network, it's task-specific performance would drop off a cliff -- having a much slower 'solution rate' than 10bit/second.
These 'task-specific bits' represent a vast amount of processing work to solve a problem. And are at least as much to do with the problem, than the system solving it.
It seems to me all this paper does is define tasks in a highly abstract way that imposes a uniform cost to process '1 bit of task information'. Do the same for computers, and you'd likewise find tiny bitrates. The rate at which a problem is solved is 'one part of that problem per second' for a suitable definiton of 'part'