Why does the server care?

Can someone explain to me why the server cares whether the prim usage etc goes to making a fish filled ocean, tree covered parkland, urban retail area, or residential living area.

In RL commercial/residential/industrial/parkland are defined for the surrounding environment, no one wants their house next to the chemical plant. But in SL what's the difference? I'm on a private stand alone island. My neighbours might care what I do, but only from a technical perspective. Prims, scripts, and avi's. So why not make it a technical restriction and leave it at that rather than this additional type of use limit.

Its not so much what you make, its how many scripts and avatars populate the space, something LL could and should have regulated server side through limitations, but they would rather raise the price and move the servers to higher end machines.