When you have the Perimeter of Circle $2 \pi y$ , you are multiplying by $dx$ , which is Parallel to $X$-Axis.
Likewise , you might multiply by $dy$ which is Parallel to $Y$-Axis.
Naturally , these 2 are wrong & will wrongly give the $\pi ^2$ :
We have to multiply by the Curve length $dS$ along the Circle.
$dS = \sqrt{dx^2+dy^2}$
Plug that in & then Check that you get Correct Surface Area.
$dA = (2 \pi y) dS$
Image Visualization :

(1) Perimeter of Circle with Center on $X$-Axis is $2 \pi y$ , when we multiply that by $dx$ , Area is not along that Circle Curve.
(2) Alternately , Perimeter of Circle with Center on $Y$-Axis is $2 \pi x$ , when we multiply by $dy$ , Area is not along that Circle Curve.
(3) Correct way is to consider the Circle Curve , which has length $dS = \sqrt{dx^2+dy^2} = [\sqrt{1+(dy/dx)^2}]dx$ :
Then Area $dA = 2 \pi y dS$
Integrating this $dA$ with the limits will give the Necessary Surface Area.