As stated in my previous comment, the PhD requirement is for sitting on the selection committee only.

Is only a PhD is capable of recognizing libre software deserving of support?

Nowhere is it implied that this could be true.

Well, they have no hope of getting tenure (that budget is needed for administration), so it's good that PhD have another option where they can avoid doing any real work* ;)

* Giving people whose talent is thinking the chance to do that is a good idea. Better than losing that talent to management.