The standard attribute types today are "Skills" and "Competencies." You can however create any number of "custom" attribute types, with or without a proficiency level. So the answer is no, Skills are not "required."
I do wonder if it is just a question of semantics here though. You should determine if "Capabilities" is really synonymous with Skills or competencies, and what you really need to do is modify the existing labels in the system.
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