In this case, no edits were suggested to the post. In the revision history, when an edit is suggested as opposed to being made by a user, it would say "suggested X hours ago" rather than "edited X hours ago", with suggested being a link to the suggestion details. No such entry exists here and the offending revision, number 3, was made by the question author. I don't think any of us are considering restrictions on reputation for editing one's own posts, so I think we can pass over the specifics of this case and instead focus on the general privilege level.
The reputation for approving edits, 2000, matches the reputation needed to edit questions and answers without needing to suggest them. The intended presentation is that a user who is trusted enough to make edits on their own, is also capable of proper analysis of suggested edits by newer users. Unless we believe that we need to raise the overall editing privilege level, to which I haven't seen a large need to reduce the number of active editors on this site, I don't think raising the suggested edit approval privilege level would do a large benefit to this site.
I will note that your moderators have the ability to temporarily revoke the ability of a user to review suggested edits (more specifically, from all review queues on the site), which they may use if a user has a demonstratedly poor history of approving bad edits and/or rejecting quality edits.