Microsoft doesn’t have official support for the conversion api so there is no way to configure this fully via server side. I think this will be realised sooner or later, but right now it’s not.
The tag you posted seems to just emulate the web tag running on the server. I doubt it will work well, but I haven’t used it so I can’t say for sure.
From the server, you can set up to send conversions to Bing in offline conversions format only:
The problem here is that offline conversions don’t support view-through attribution. So if you are actively using this attribution format and you want to send online conversions through the server - I would not recommend it, as this will cause server conversions to be less than web conversions.
If view-through attribution is not used - then this is a good way to do it.