I didn’t get that from him. In state 0 the baby has sense but not about the self. Imo self is something taught by the society and nurturing so baby would not have that concept.
Parts of the world belonging to a system and other world parts are so different in a system's ability to control them, that I suspect that any system capable of planning, learning and building world-models will naturally divide the world into self and not-self.
In state 0 such discovery just hasn't happened yet.