I'm getting the following status message for SEVERAL clients, but not all of them. Some devices with the problem are XP, some are Windows 7... We had some power settings defined via GPOs previously, but no longer.

Power settings failed to apply for the following reasons:
Error code 1260, Conflict with Group Policy
For more details please refer to powermgmt.log on client.

So I go checkout pwrmgmt.log (not powermgmt.log) on the clients, and it basically doesn't tell me anything more. Has anyone dealt with this or have guidance?

Are all your computers in the same OU?  What OU's does your GPO for power settings target?

Computers are not in the same OU.

I somehow forgot to mention: there used to be a few GPOs configuring power settings around, but those were all deleted well before I noticed this issue.

OK so...surely this is a bug or a lamentable oversight; If the 2 power settings for requiring password on wakeup are set in local group policy, no power policy will apply to the device from the SC 2012 CM client, and you see error/warning status messages stating that power policy couldn't apply due to conflict with group policy.

That's annoying.

I think I actually hit the root cause here: http://social.technet.microsoft.com/Forums/en-US/b1d9efa9-74e5-486a-b2cb-00042b67502d/bug-pwrproviderlog-failed-to-read-valueunitsspecifier

Some kinda bug with PwrProvider in CM 12 and it still exists in SP1. I've never found a solution.