The most marginal calls are eliminated under this system. That doesn't mean there will be no tight calls though. There still has to be a point where offside becomes onside, however narrowly, because that's how offside works.
The key thing with the above is that in the actual image they used to judge the offside (rather than the one you posted) Lukaku is offside beyond the MOE. They have to use the first image where there has definitely been contact with the ball and that was deemed to be the below. Obviously that then comes down to the inaccuracy of frame rates but then that's partly why they have the MOE.