Maybe possibly instead of enabling TNT in the outlands, a compromise solution can be found to help all parties?
One possibility I considered was allowing creating regions with build:allow, tnt:allow, pvp:allow for a small fee. IIRC, this combination of flags will create a region that functions identically to the outlands, just with TNT enabled. This would allow a player who wants to destroy an area in the outlands using TNT to be allowed to do so, without building an entire village on top.