The easy solution would have been to disable PowerNow!/cpufreq totally and run the system at full speed all the time. But being able to run cooler and save power when the system was otherwise doing nothing seemed like a good idea.

What was not desirable was to not have the speed available when it was needed.
So to I decided to disable the thottling feature of cpuspeed

/sbin/chkconfig cpuspeed off

Dont forget to reboot the server for the change to take effect :)