Here's my comparison.
First, your suggested 150:
(Full size: https://xigwug.am.files.1drv.com/y4mqKo ... pmode=none)
Notice how bland and unnatural the hills (their color -- not the shape) in the distance look. Just flat green color. It nearly "screams": "Looks, here the grass stops for performance reasons".
Now, distance of 1000 forced in console:
(Full size: https://w4gwug.am.files.1drv.com/y4mMOK ... pmode=none)
To me, it looks much more natural in the distance, and I don't think it's a monolithic mass. (But I increase the grass distance to the maximum my PC can handle in all Elder Scrolls games, so it's just my personal taste.)
Anyway, I did only request the option. Of course it's a matter of taste if one wants to use it or not Also I agree to your suggestion to fade out the terrain once it nears the drawing border.