Not every Pokemon exists for battling, some are just there for the sake of lore. I've never seen that as being a problem in the Pokemon world, it just makes the whole experience feel more expansive and like its own universe instead of simply being a monster fighting RPG.
I enjoy the anime for this reason too, I don't watch it with the intention of it being a really great anime, I just watch it because I love the Pokemon world as a whole. My childlike love for Pokemon never left in this respect