I too have used Paypal since before it was even called Paypal and long before it was available in Australia and I can't remember when their fees last went up it was so long ago, how many other service providers can you say that about?

If they do raise the fees and you no longer wish to use their services then you can choose not to, there are three permitted remote payment options so use one of the other two if you wish.

If PP is considering fee increases it is no doubt thanks to the many claims by people who keep getting scammed.  Refunds for INR have to come from somewhere.

They typically come from the seller's funds, or not at all - INR claims rarely cost PayPal anything, since they make it quite clear the buyer is not entitled to a refund if the seller proves postage. Ergo in those circumstances, seller would keep the money, and PayPal the fees.

Providing seller protection for credit card chargebacks would probably cost them way more than INR's, because if the chargeback is successful, PayPal foots the bill.