Sometimes you have to make do however you can when you live in an apartment or condo, even a house with no where to cook outside. But my opinion is that the taste wouldn't be as good as outside in a smoker or on a grill....
I'm suspicious at best. I've broken down pellets in to dust by saturating them, breaking them up, and then oven drying and it doesn't smell like something I'd want infused in to my meat. It smells like... wet sawdust. Nothing like wood smoke.
This is like the pressure cookers that have a separate internally heated cup for chips or pellets. You're making smoke, you're just making a small amount and confining it. What little leaks out the tent goes out the oven exhaust. If you're still smelling smoke, turn on the kitchen exhaust fan.
Some inside methods like this suggest separately having a pan in the bottom for water alone (for moisture) and the chips/pellets in a dry condition around it. Most of those methods use less than a cup of wood. These guys each use much more wood, so I assume the wetness greatly decreases the smoke production.
May be worth a try in an outdoor gas-only grill first?
Yes that will work.
There are a variety of single pans with slide on lids, double pans and others that are " Stove Top " or " Indoor Oven Smokers." They ALL assume you have a modern Ventilation Hood, 700CFM or more, vented outdoors. Cheapo Hoods just Recirculate smoke through a grease catching filter, back into the kitchen.
Those setups will put some smoke on your meat, BUT, your Oven, Kitchen, adjoining Room or Whole Apartment, may smell like the Kitchen caught Fire for a period of time. Disable your Smoke Detectors and if you live in an Apartment or Condo, inform the neighbors what you are up to.
You will get a similar and satisfactory result from Roasting your Ribs or Pork Butt and periodically Spritzing the meat with Liquid Smoke or purchasing Smoke Powder and adding it to your Rub or adding some Liquid Smoke, to taste, in your favorite Sauce and Glaze the ribs near the end of cook time. All work and No lingering Smoke smell, I do the latter, 2 to 3 Racks of Spare Ribs, all Winter, to get a Smoked Rib Fix..JJ