Yes, since the internal language of a cartesian closed category at least contains the simply typed lambda calculus with products. This implies that equations that hold in the simply typed lambda calculus with products can be shown to hold in any cartesian closed category using only that structure. If you present all that structure using universal properties, then you can just use equational reasoning.
In this case we have products so we have the equations:
$$\begin{align}
\langle \pi_1, \pi_2 \rangle & = id \\
\langle f \circ h, g \circ h \rangle & = \langle f,g \rangle \circ h\\
\pi_1 \circ \langle f,g \rangle & = f \\
\pi_2 \circ \langle f,g \rangle & = g
\end{align}$$
Define $f \times g \equiv \langle f\circ\pi_1,g\circ\pi_2\rangle$. For cartesian closure, we have:
$$\begin{align}
\lambda(\varepsilon) & = id \\
\lambda(f \circ (h\times id)) & = \lambda(f)\circ h \\
\varepsilon \circ (\lambda(f)\times id) & = f
\end{align}$$
where $\varepsilon : B^A \times A\to B$ is the "application" or "evaluation" morphism, and the counit of the relevant adjunction, and $\lambda : \text{Hom}(A\times B,C) \cong \text{Hom}(A,C^B)$ is the "currying" isomorphism witnessing (half of) the adjunction. (Note that both of these sets of equations arise via the same systematic process.)
The trickiest part is interpreting what the expression $\Delta(1)$ means. Since we're using $\Delta$ as an arrow $D^D \to (D^D)^C$ here we need to produce an arrow $\Gamma \to D^D$ which is what $\lambda(\pi_2)$ is. Next, we need to "apply" $\Delta$ to that which we can do just by composing which gives $\Delta \circ \lambda(\pi_2) : \Gamma \to (D^D)^C$. Now we need to "uncurry", which is $\lambda^{-1}(\Delta\circ\lambda(\pi_2)) : \Gamma\times C \to D^D$. If we set $C$ (or $\Gamma$) to the terminal object, we'd be almost done. Alternatively, we can set $C$ to $\Gamma$ and duplicate it. Either way, we don't have $\lambda^{-1}$ as an operation. Instead, it is definable in terms of $\varepsilon$. In particular, $\lambda^{-1}(f) = \varepsilon \circ (f \times id)$. If we consider duplicating via $\langle id,id \rangle : \Gamma \to \Gamma\times\Gamma$ then we can simplify $\lambda^{-1}(\Delta \circ \lambda(\pi_2))\circ\langle id,id\rangle$ to $\varepsilon \circ \langle \Delta \circ \lambda(\pi_2), id\rangle$.
Your question is then $\varepsilon \circ \langle \Delta \circ \lambda(\pi_2), id\rangle \stackrel{?}{=} \lambda(\pi_2)$ where $\Delta \equiv \lambda(\pi_1)$, and the calculation is:
$$\begin{align}
\varepsilon\circ\langle\Delta\circ\lambda(\pi_2),id\rangle
& = \varepsilon\circ\langle\lambda(\pi_1)\circ\lambda(\pi_2),id\rangle \\
& = \varepsilon\circ\langle\lambda(\pi_1\circ\langle \lambda(\pi_2)\circ\pi_1,\pi_2\rangle),id\rangle \\
& = \varepsilon\circ(\lambda(\pi_1\circ\langle \lambda(\pi_2)\circ\pi_1,\pi_2\rangle)\times id)\circ\langle id,id\rangle \\
& = \pi_1\circ\langle \lambda(\pi_2)\circ\pi_1,\pi_2\rangle\circ\langle id,id\rangle \\
& = \lambda(\pi_2)\circ\pi_1 \circ\langle id,id \rangle \\
& = \lambda(\pi_2)\circ id \\
& = \lambda(\pi_2)
\end{align}$$