I'd like to suggest dimension specific render distance, like this - no longer maintained - mod had done and worked fine until it lasted: https://github.com/BasiqueEvangelist/worldspecificviewdistance-fabric

This would be especially useful in the nether, because of the fog and the obstructive nature, you effectively can only see 8 chunks far. Not sharing the same render distance on all dimensions further improves server performance.

PS:
A few months ago I opened an issue there suggesting dynamic render distance to their mod, but unfortunately they then decided to abandon the project.

This would increase the complexity of this mod unnecessarily. This is a very simple mod that just changes the values according to the performance