What can happen when using an external consul URL?

Imagine I have consul server running on some server. And I have nomad client running on some different server. What will be the consequences of connecting nomad client to external consul server?

consul {
address = “some.ip.not.localhost:8500”
}

I noticed that templating with consul does not work (why? there is consul connection) and that health checks do not work. Why is that?