There's no doubt it will be less efficient, especially since the cars are carrying their batteries but the whole point of this is to cut CapEx by 90+% and eliminating miles of power lines is an important part of that effort.
It's a lower level of importance over this 3 mile trip, but it's not uncommon for power upgrades/maintenance to be a multi hundred million dollar Annual outlay for large transit systems.
A well-executed new metro line development, like the MetroSur line in Madrid, runs at around $60M per mile total cost including everything, all the construction and the trains and the stations and property rights.
If you want to improve on that by 90%+, you can't afford much more than just the batteries and the "skates" for this Dugout line.
- reuses technology Tesla have already developed and are familiar with
- increases sales of said tech
- a controlled setting where they can get more data about real-world performance of their tech
- introduces their tech to punters