
NO! Seven Havens should NOT restore the past lives!
A vocal part of the fanbase refuses to believe that the pre-Korra past lives are gone forever and wants Pavi to restore them.
Honestly, I have always thought this unlikely, for the following reasons:
"Evidence"
The "evidence" to the past lives being restored that fans cling to is that each Avatar dies with "unfinished business" and Korra's successor should thus address her "greatest failure".
I see this as wishful thinking.
If anything, it seems that Korra's "failure" that Pavi must fix is the Cataclysm.
Consequences
Even before The Legend of Korra got renewed for two more seasons, getting rid of the past lives served an underappreciated role in Korra's second Book.
Book 2 was all about "new beginnings" and Korra needing to "grow up".
At the start of the Book, having gotten everything she wanted without any lasting consequences in Book 1, she is more immature than ever, which leads her to make some pretty big mistakes whilst alienating her comrades.
The second half of Book 2 is all about Korra trying to fix these mistakes.
In this context, the loss of the past lives was because, to start over and mature, Korra needed to face a mistake that neither she nor anyone else could do anything about afterward!
Aang Issue
Now, the real-life reason the writers ditched the past lives was likely (partially) because this is supposed to be a story about the next generation.
In Korra's Book 1, the writers got around this "Aang Issue" by making her spiritually inept, allowing them to save him for the finale.
However, they did not know there was gonna be another book. So after they got a second, with the potential for more, they were probably like: "Okay, the past lives are becoming more of a burden than an asset; let's just get rid of them"!
Premise
Seven Havens actually seems to agree with getting rid of the past, with the new series essentially nuking the entire previous setting!
So, with a premise like that, it is unlikely that Seven Havens will bring back any past lives besides Korra, who is essential to the plot.