Typically UF (underground feeder, rated for direct burial in dirt, unlike NM Romex) is allowed directly under an earthen plaster. Any plaster with calcium (Portland, mag, lime, gypsum) will eat through and dissolve that insulation/sheathing. To cover their liability, our local inspectors require that a little plastic gets wrapped over UF in case someone adds one of these calcium materials to their plaster mix. Bale pin (sod staple) the cable tight. We cut out our recesses with a Lancelot wheel on a 4.5" angle grinder. I think it's the quickest and safest way to cut and shave bales
I'd recommend trying to locate your breaker panel on an interior framed wall for both organization and future modifications.
EDIT: want to add this link:
https://www.strawbale.com/electrical-installations/