PipelineController works with default image, but it incurs overhead 4-5 min

You can try to spin the "services" queue without docker support, if there is no need for containers it will accelerate the process.

Repository cloning failed: Command '['git', 'fetch', '--all', '--recurse-submodules']' returned non-zero exit status 1.

This error is about failing to clone the pipeline code repo, how is that connected to changing the container ?!
Can you provide the full log?