Yes, it can be pleated to the sett. Obviously, if you included the full sett within each pleat you would have 15" deep pleats (plus whatever pleat reveal). This would use a lot of fabric. For someone with 40" hips using pleats with a 1" reveal you would need somewhere around 11 yards!

Most kilt makers would probably 'cheat' the pleats, by using the same looking element but making some of the pleats shallower. If you wanted uniform pleat depth (but not 15" pleats!) pleating to the stripe is the best bet.