Ubuntu 13.10 "Saucy Salamander" is based on the 3.11 kernel and includes
the necessary updated radeon firmware as well.  On Saucy, to use this
power management for the AMD/ATI Radeon you will need to select it at
boot by adding radeon.dpm=1 to your GRUB kernel boot options as
described at
https://help.ubuntu.com/community/Grub2/Troubleshooting#Editing_the_GRUB_2_Menu_During_Boot

The currently under-development Ubuntu 14.04 "Trusty Tahr" is based on
the 3.13 kernel which enables DPM by default (without needing the
radeon.dpm=1 boot parameter I mentioned above) for Radeon HD 4000
through Radeon HD 7000 series graphics processors but with some specific
ASICs being excluded.  You can download a pre-release version at
http://cdimage.ubuntu.com/daily-live/current/ and the final release is
scheduled for April 17th, 2014 as per
https://wiki.ubuntu.com/TrustyTahr/ReleaseSchedule

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https://bugs.launchpad.net/bugs/748080

Title:
  1002:9612 [HP Pavilion tx2500 Notebook PC] ATI card fan is always on
  with opensource radeon driver

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