No. They dont disturb the sand bed much, from my readings they are able to make a tunnel and they just live in the tunnel that is smaller an a pencil.

However,for consistent feeding you will need laminar flow,it keeps the food suspended for some time, the eel will arrange itself to face into the flow.
Also they are shy. Other fish in the tank will scare it back into the sand bed, that is unless the tank mates are slow moving and peaceful. Like sea horses and pipe fish. I had to add a wrasse from another tank to prevent some bullying, the eel doesnt like it very much.