This works great for a small-subset of the space-debris problem: satellites in low-earth orbit that have reached their end-of-life. For example, Starlink satellites maintain a small reserve propellant for their maneuvering thrusters to be executed at EOL. This activity will likely be mandated by regulatory bodies in the coming years (and definitely should be). However performing this task becomes much more difficult to do as orbits get higher. The higher the orbit, the more fuel is required to perform a de-orbit, and the more fuel is required to lift THAT fuel into the orbit in the first place. Propellant requirements scale exponentially with increased mass. Beyond a certain orbital altitude, it becomes prohibitively expensive.

In addition, the bulk of the space-junk problem is not defunct satellites, but fragments from previous collisions, and stage-separations (screws, scraps, paint-chips, etc). Satellites (even defunct ones) are easily trackable, and have known trajectories. Random 10 cm pieces of metal are not.

While mandating EOL maneuvers for low-earth satellites is definitely a solution to part of the problem, it is not the full solution.