I haven't played Powers & Perils (or D&D3e for that matter) in a while, but the new game you discuss seems to miss target. The single strongest asset of Powers & Perils was melee combat realism, in my opinion. This is where games like D&D and the new game you discuss do not quite match Powers & Perils. Specificly, Im talking about D&D's "To Hit" vs. Armor Class, and the new game's "Attack Value" vs. the opponents Armor value. Further, damage based only on weapon type seems overly simplistic and doesnt accound for "critical" hits, although D&D has made some strides to this end. P&P's melee system is perfect; the amount of damage is predecated on the quality strike you inflict. And the odds of a successful strike are based on the the attackers ability to hit vs. the defenders ability to avoid, where armor only absorbs impact.
(The following are a series of thought in no particlar order regarding P&P, and to a lesser degree, D&D) I have been running and/or playing roleplaying games since about 1984. Now, I know there are those out there that have been around the games longer than that, but in the scope of roleplaying games (paper, pencil and dice), I've been around long enough. I have done just about every genre there is to play: fantasy, gothic, modern warfare, and various themed sci-fi. At the heart of roleplaying is the fantasy genre, so flexible in styles. There has never been a question that when it comes to flat out realism, Rune"Rule"Quest seemed superior. Unfortunately, it was difficult to master (at least at the time it was printed), and never really caught on. Powers and Perils seemed like the best mix of realism and playability. Dont like the rule: ignore it. Dont understand the rule: make it up. I want to run P&P again, but I am lured to D&D because of the following reason: Monster variety & awareness (P&P can overcome this) Spell variety & awarenss (this one is key) Class arangements and abilities (not so key) If only D&D used P&P's combat and experience/expertise system (which I think is far superior, or more preferably, P&P used D&D's spell system, I would be on cloud nine. Its such a pain in the ass to create/replicate all the D&D spells. I also am not too keen on Law/Chaos/Balance and Elder/Kotothi/Sidh/Shaman stuff either. It was good at first because it was new, but I think it has run its course. I am considering a non-aligned sytem where all spells will be available to everyone, and there is no alignments. Not to say there is no religion, but no Law/Chaos, etc.