Wrong type when using image-url like in the example?

Following example from here:

import imageUrlBuilder from '@sanity/image-url'

export default defineNuxtPlugin(() => {
  const builder = imageUrlBuilder(useSanity().config) // <-- here is the problem
  function urlFor(source) {
    return builder.image(source).auto('format')
  }
  return {
    provide: { urlFor }
  }
})

Doesn't work for me as the type seems wrong:

Argument of type 'SanityConfiguration' is not assignable to parameter of type 'SanityClientLike | SanityProjectDetails | SanityModernClientLike | undefined'.
  Type 'SanityConfiguration' is not assignable to type 'SanityProjectDetails'.
    Types of property 'dataset' are incompatible.
      Type 'string | undefined' is not assignable to type 'string'.
        Type 'undefined' is not assignable to type 'string'.ts(2345)

Should this work?

Start with the linked documentation example and the useSanity().config call passed to imageUrlBuilder. Check the relevant TypeScript definitions and reproduce the reported SanityConfiguration error; done when the documented example type-checks with the intended configuration.