Fame/infamy is perhaps the wrong word choice on my part. I was more thinking of it in terms of alignment, in a manner similar to quite a lot of RPG video games. Fame is usually seen as the positive version (good/light/paragon/etc), whereas infamy is usually seen as the opposite (bad/dark/renegade/etc). It would be there to represent what your "reputation" is, and by extension what someone's knee-jerk reaction to you should be. If your reputation balances out as 0, that just means you're either not known for being especially good or especially bad; or you are known for being such a mixed case that no one is entirely sure if you're a good guy or a bad guy.
That's separate from what I described as "renown", and by using the two together, I think it skirts around some of the problems you're pointing out. If someone has a renown of 25, but a reputation of 0, then they're "famously neutral", either in the sense that they're equally good or bad, or in the pacifist/neutral sort of way.
The city versus region one is a bit of a tricky one. I would argue that your celebrity is still localised, though? Think of it in terms of the real world, and with actors or museums. In fact, lets say Benedict Cumberbatch. He has done a lot of acting work in Britain that a lot of people in America don't know about. In fact, people in America only know about Benedict Cumberbatch because he managed to reach Expert in his Celebrity (Britain) skill, and that celebrity brought him to America's attention as "That guy from Britain." He then did a bunch of movies in America, and has now managed to reach Expert in Celebrity (Hollywood) as well. People from Hollywood though don't necessarily know the intimate details of the stuff he did in Britain, they've just heard of him because he's "well-known".
It's the same with Mizahar. If I am an Expert in Celebrity (Wind Reach), then people in Lhavit will have heard of me, vaguely, because I am well-known. But, their specific local knowledge of my actions is a separate Celebrity (Lhavit) skill. If I get Celebrity (Lhavit) to Expert too, and then go to Kalinor, they'll see me and think "Oh wow, it's that famous guy who does stuff in Wind Reach AND Lhavit; we don't know the details, but we've heard he's a swell guy."
Am I making any sort of sense at this point?
