Without looking into the Privacy Policy for details on tracking, it seems like this would be a lesser of two evils situation. Either experience censorship in your country or see everything, with the caveat that Google logs it.
A country that censors content will be very interested in obtaining these logs from Google. Since they seem to be willing to cooperate with state actors, users might set themselves up for reprecussions later on.
No kidding. That was my next thought among other issues with the plan, but I'm trying not to be too cynical about what will happen to the data. I won't be using this any time soon, personally.