Using it to describe things that aren't sex being treated like sex is definitely misuse. It's supposed to be more like the Pokemon example you mentioned (although presumably the sex does happen in that case, it's just offscreen), or FFVI using light and sparkles and stuff to represent Terra being born.
Looks like that one may need some clarification/clean-up. Some of the examples are just "it's implied these characters had sex" (like the Schick razor commerical or the love scene from Final Fantasy X (honestly, I find that one sort of open for interpretation as far as just how far the two of them went.)
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The laconic says "Characters don't have actual sex, but they act like they are having sex. Either that, or it's implied they had sex. Both played for Innocent Innuendo.", so both seem accurate.
From the trope description and most of the examples, I get the impression G-Rated Sex is when sex/reproduction is represented in a non-sexual way, like how Pokemon eggs just appear and "no one knows how they got there". There are a few examples where it's used to mean "the characters actually had sex, but it's only implied" (this is probably closer to Sexy Disrection Shot) or "non-sexual activity is portrayed in a sexual way for the sake of humor." Is this trope seeing misuse?