Besides the obvious issues with interactions and resting that are specific to BG3 (and need to be fixed), the problem with time limits is that how long is "reasonable" to do a task is completely subjective.

I actually don't like camping frequently (and missed a ton of interactions on my first playthrough because of it), but I do like to explore every tiny corner of the game world, obsessively organize my inventory, and mess around seeing how the game reacts to things that have nothing to do with the story, so I always take longer than the estimated time for quests. For me that's fun, and that's how I enjoy the game. As a player, I am curious; I like sightseeing and experimenting (even though my character wouldn't be doing that). I manage timelines and urgent tasks enough at work every day that I don't want to have to do it when I'm playing in a story-rich world.

I understand that some don't like the false sense of urgency in games, and I find it highly overused as well. However, perhaps the solution is not to create real urgency, but to adjust the story so that it's not overplaying how urgent everything is. If everything is urgent, then nothing is urgent. For example, in the druid grove they could be preparing for the ritual instead of having already started it. So there is still an ethical dilemna, but it's not as seemingly time-sensitive. If you do nothing, there will still be consequences, but less urgently. I'm sure that could be managed for many of the other story elements as well.

That said, I wouldn't have a problem if timed quests were an option that could be turned on or off. If someone else chooses to turn it on because that's what they find fun, as long as I don't have to, it doesn't affect me.