No, it is optional.
You are welcome to issue your own transcript and diploma if you prefer. In that case, you would register your student under the “cover only” option, and report a semester summary or unofficial grades without credits. This reporting keeps you in good standing with PRS by providing backup to the statement you will affirm each semester that your child has received a “basic academic education” as required by law.
Unofficial high school grades and semester summaries do not require approval from PRS and do not apply toward an official PRS transcript or diploma. To graduate your student, you would “transfer” your child’s grades and credits to your own homeschool transcript and issue a diploma yourself.