Sure you don't "need" a refugium... but you don't "need" a sump, a wet/dry, a canister or even an HOB... but each has benefits one may wish to offer their tank...
 
In my opinion a refugium is a far better usage of sump space than a wet dry. At best, a wet dry turns water with ammonia into water with nitrate... at best, a refugium turns water with ammonia into pollutant free water...
 
Suggesting a refugium has no benefit in freshwater is simply not true...
Following is a diagram I recently drew up for my own use...
 
 
Any plants will work in the refugium chamber... though your best bet is a hardy, fast growing low light plant. Being hardy is important because as the plants die they biodegrade and add to the organic pollution in the tank, hardy plants have less die off. Fast growing plants work best because it takes energy to grow and energy comes (partially) from waste/food taken in from the water. Low light plants work best because they rely more on water for their nutrients and less on light/photosynthesis.
 
I suggest looking into pond plants meant for shaded areas. Though many people have successfully used things such as Java Moss (or any similar moss), Hornwort, Lucky Bamboo and many other aquarium plants…
 
Substrate is not needed for the function of a refugium, though some plants may require or benefit from it. If you do use substrate be sure to use a media between the refugium and the pump that keeps substrate out of the pump.