Thanks for your clarification. The problem is that the 2D renderer doesn’t support scriptable render passes which are required for the Fog of War effect to work. You can see a forum thread regarding this issue here - https://forum.unity.com/threads/urp-2d-renderer-custom-feature.778946/. It was created in 2019 and only a month ago someone from Unity replied that “The work on this has officially started.” Even though I have no experience with the 2D renderer, I think that it should be easy to add support for the Fog of War effect once they release a version with custom render passes.
As far as I know, you should be able to use 3D lights in a 2D project without any big problems. From what I can tell, the 2D lights are better optimized for 2D games than 3D lights and they also come with some additional features. But there are people using Edgar with URP, the Forward Renderer and 3D lights and it seems like it works for them.
Also, I would not recommend you to replicate the FOW effect yourself. First, there’s that problem with not supported custom render passes. Second, I spent quite a lot of time on that and it requires you to know some internals of Edgar to do that properly.