Well, that panel has all kinds of wrong going on in there, so the odd fusing is not surprising. But fusing is not as critical (from an installation standpoint) as the conductor sizing. The NEC says that the conductors FEEDING that VFD must be sized for 125% of the VFD maximum nameplate input amps, not the motor amps. That drive is rated for 138A maximum input, so the conductors must be sized for 173A minimum. We're talking 2/0, and that doesn't look like 2/0 in that photo.
But as to fusing, the mfr will have a MAX fuse size specified, but you can use smaller if you like. If you notice, the OUTPUT current rating of that drive is only 57A at heavy Duty (HD), which is how that drive should have been applied. So assuming then that it is a 40HP motor, 125A fuses would be fine. But that is at 480V, you only have 230V. So you will need a transformer for this to step it up to 480. Since you have a VFD and therefore very low starting current, you can likely get away with a 75kVA. The input on the 240V side will end up at about 180A max, so you're going to need a 225A breaker feeding it.
Forget the stinger leg issue, it's irrelevant.