New (masked) sys-libs/pam-0.99.6.3-r1 no longer uses the pam_console USE flag, it's been separated outside of pam into it's own package pam_console. sys-power/powersave requires that pam be built with pam_console. Simply removing pkg_setup() let it install and everything runs fine ime, though that may not be good enough for portage. Thanks
thanks fixed