Thank you for taking the time to report this bug and helping to make Ubuntu
better.
Did you try it with a newer kernel? like 2.6.28-11?
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[9.04] CPU Frequency Scaling not working anymore
https://bugs.launchpad.net/bugs/350943
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For some reason update-grub stopped writing changes to menu.lst so i ended up
with an old kernel and did not realize.
Deleting menu.lst and let update-grub recreate it fixed that Problem.
CPU Scaling works with current kernel, sry for reporting this bug prematurely.
** Changed in: ubuntu
