You are exactly right, the increased accuracy comes at the expense of somewhat longer range. However, the lower tiers should not be more expensive than before, it's more a matter that if you want, you can now push on to even better basis sets, which wasn't possible before. Yes, the old sets will still be available (and still default) in 12.2.
Under normal conditions you don't have to worry about the k-points for the central region. If you look in the Python script, the k-points are actually set for the electrodes, and then kA and kB are inherited by the device calculation. For the equivalent bulk, the number of kC points is hardcoded to 1, and for the device calculation (open boundary conditions) no kC points are used at all.