Foglight will enable compression on observation tables if the database supports it. Foglight is checking whether it is the Enterprise Edition and will only attempt to use table compression if that is the case.
Using a Standard Edition of the database should be fine and the server just will not use table compression. The main impact will be that the tables are larger and there could be more I/O when inserting data and performing queries.
In terms of migrating from an Enterprise Edition to an Standard Edition: Please contact your SQL Server DBA to discuss the way to move from one version to another. It might be necessary to perform some sort of export and re - import.