As a huge fan of peggle (and sad there hasn't been a new one in a long while) this was incredible!
You nailed basically everything here, it feels really nice to play, has just the right amount of content for a jam game, and overall is just a lovely, complete experience that is also super replayable even if you've already beaten the different levels.
Admittedly I feel as if the theme was a bit too loosely used here, only having relevance as a part of the story and not really affecting the gameplay much which is what I tend to value most in jams, interesting gameplay based around the themes. It also felt a bit less like a puzzle game and more like a strategy game.
Nevertheless, that can be easily looked past simply due to the quality of the experience. It's truly a wonderful jam entry and I'm definitely excited to see if you do more with it post-jam since there really are not enough games of this style.