Is there a way to distribute proprietary software with PyPI? Based on the license text it appears the author wishes to keep it proprietary (maybe source-available, but not open source).
I suppose you actually mean close source? Because it’s trivial to distribute proprietary code on PyPI: Just say that in your license.
There is no true “close source” for pure Python programs, but if obfuscation is close enough, you can choose to only deploy wheels containing pre-compiled pyc files. This is good enough for most situations.