diff --git a/include/power.h b/include/power.h
index 42287873d43..55d10aac87e 100644
--- a/include/power.h
+++ b/include/power.h
@@ -162,25 +162,38 @@ extern void sys_pm_dump_debug_info(void);
 
 #ifdef CONFIG_PM_CONTROL_STATE_LOCK
 /**
- * @brief Disable system PM state
+ * @brief Disable particular power state
  *
- * Disable system Low power states like LPS or Deep Sleep states.
+ * @details Disabled state cannot be selected by the Zephyr power
+ *	    management policies. Application defined policy should
+ *	    use the @ref sys_pm_ctrl_is_state_enabled function to
+ *	    check if given state could is enabled and could be used.
+ *
+ * @param [in] state Power state to be disabled.
  */
-extern void sys_pm_ctrl_disable_state(int state);
+extern void sys_pm_ctrl_disable_state(enum power_states state);
 
 /**
- * @brief Enable system PM state
+ * @brief Enable particular power state
  *
- * Enable system Low power states like LPS or Deep Sleep states.
+ * @details Enabled state can be selected by the Zephyr power
+ *	    management policies. Application defined policy should
+ *	    use the @ref sys_pm_ctrl_is_state_enabled function to
+ *	    check if given state could is enabled and could be used.
+ *	    By default all power states are enabled.
+ *
+ * @param [in] state Power state to be enabled.
  */
-extern void sys_pm_ctrl_enable_state(int state);
+extern void sys_pm_ctrl_enable_state(enum power_states state);
 
 /**
- * @brief Get enable status of a PM state
+ * @brief Check if particular power state is enabled
  *
- * Get enable status of a system PM state.
+ * This function returns true if given power state is enabled.
+ *
+ * @param [in] state Power state.
  */
-extern bool sys_pm_ctrl_is_state_enabled(int state);
+extern bool sys_pm_ctrl_is_state_enabled(enum power_states state);
 
 #endif /* CONFIG_PM_CONTROL_STATE_LOCK */
 
diff --git a/soc/arc/quark_se_c1000_ss/power.c b/soc/arc/quark_se_c1000_ss/power.c
index 6e62164025a..f1fb49a17b2 100644
--- a/soc/arc/quark_se_c1000_ss/power.c
+++ b/soc/arc/quark_se_c1000_ss/power.c
@@ -42,12 +42,14 @@ static void _deep_sleep(enum power_states state)
 void sys_set_power_state(enum power_states state)
 {
 	switch (state) {
+#if (defined(CONFIG_SYS_POWER_LOW_POWER_STATE))
 	case SYS_POWER_STATE_CPU_LPS:
 		qm_ss_power_cpu_ss1(QM_SS_POWER_CPU_SS1_TIMER_ON);
 		break;
 	case SYS_POWER_STATE_CPU_LPS_1:
 		qm_ss_power_cpu_ss2();
 		break;
+#endif
 #if (defined(CONFIG_SYS_POWER_DEEP_SLEEP))
 	case SYS_POWER_STATE_DEEP_SLEEP:
 		qm_ss_power_soc_lpss_enable();
@@ -66,16 +68,17 @@ void sys_set_power_state(enum power_states state)
 
 void sys_power_state_post_ops(enum power_states state)
 {
-	u32_t limit;
-
 	switch (state) {
+#if (defined(CONFIG_SYS_POWER_LOW_POWER_STATE))
 	case SYS_POWER_STATE_CPU_LPS_1:
 		/* Expire the timer as it is disabled in SS2. */
-		limit = _arc_v2_aux_reg_read(_ARC_V2_TMR0_LIMIT);
+		u32_t limit = _arc_v2_aux_reg_read(_ARC_V2_TMR0_LIMIT);
 		_arc_v2_aux_reg_write(_ARC_V2_TMR0_COUNT, limit - 1);
 	case SYS_POWER_STATE_CPU_LPS:
 		__builtin_arc_seti(0);
 		break;
+#endif
+#if (defined(CONFIG_SYS_POWER_DEEP_SLEEP))
 	case SYS_POWER_STATE_DEEP_SLEEP:
 		qm_ss_power_soc_lpss_disable();
 
@@ -98,7 +101,7 @@ void sys_power_state_post_ops(enum power_states state)
 		QM_IR_UNMASK_INTERRUPTS(QM_INTERRUPT_ROUTER->rtc_0_int_mask);
 		__builtin_arc_seti(0);
 		break;
-		break;
+#endif
 	default:
 		break;
 	}
diff --git a/subsys/power/Kconfig b/subsys/power/Kconfig
index f8dc846a662..230c14cff45 100644
--- a/subsys/power/Kconfig
+++ b/subsys/power/Kconfig
@@ -9,8 +9,8 @@ config PM_CONTROL_STATE_LOCK
 	help
 	  Enable OS Power Management state locking capability
 	  if any application wants to temporarily disable certain
-	  System Low Power states while doing any critical work
-	  or needs quick response from hardware resources.
+	  Power States while doing any critical work or needs quick
+	  response from hardware resources.
 
 config PM_CONTROL_OS_DEBUG
 	bool "Enable OS Power Management debug hooks"
diff --git a/subsys/power/pm_ctrl.c b/subsys/power/pm_ctrl.c
index 9e8f6105a98..dd5493268d8 100644
--- a/subsys/power/pm_ctrl.c
+++ b/subsys/power/pm_ctrl.c
@@ -15,65 +15,35 @@
 #include <logging/log.h>
 LOG_MODULE_DECLARE(power);
 
-struct pm_ctrl_info {
-	int pm_state;
-	atomic_t count;
-};
+static atomic_t power_state_disable_count[SYS_POWER_STATE_MAX];
 
-static struct pm_ctrl_info pm_ctrl[] = {
-	{SYS_PM_LOW_POWER_STATE, ATOMIC_INIT(0)},
-	{SYS_PM_DEEP_SLEEP, ATOMIC_INIT(0)},
-};
-
-void sys_pm_ctrl_disable_state(int state)
+void sys_pm_ctrl_disable_state(enum power_states state)
 {
-	if (state == SYS_PM_LOW_POWER_STATE) {
-		__ASSERT(pm_ctrl[0].count < UINT_MAX,
-				"Low Power state count overflowed\n");
-		atomic_inc(&pm_ctrl[0].count);
-	} else if (state == SYS_PM_DEEP_SLEEP) {
-		__ASSERT(pm_ctrl[1].count < UINT_MAX,
-				"Deep Sleep state count overflowed\n");
-		atomic_inc(&pm_ctrl[1].count);
-	} else {
-		LOG_WRN("\nInvalid PM state");
-	}
+	atomic_val_t v;
+
+	__ASSERT(state < SYS_POWER_STATE_MAX, "Invalid power state!");
+	v = atomic_inc(&power_state_disable_count[state]);
+	__ASSERT(v < UINT_MAX, "Power state disable count overflowed!");
+
+	/* Make compiler happy when assertions are disabled. */
+	(void)(v);
 }
 
-void sys_pm_ctrl_enable_state(int state)
+void sys_pm_ctrl_enable_state(enum power_states state)
 {
-	if (state == SYS_PM_LOW_POWER_STATE) {
-		__ASSERT(pm_ctrl[0].count > 0,
-				"Low Power state count underflowed\n");
-		atomic_dec(&pm_ctrl[0].count);
-	} else if (state == SYS_PM_DEEP_SLEEP) {
-		__ASSERT(pm_ctrl[1].count > 0,
-				"Deep Sleep state count underflowed\n");
-		atomic_dec(&pm_ctrl[1].count);
-	} else {
-		LOG_WRN("\nInvalid PM state");
-	}
+	atomic_val_t v;
+
+	__ASSERT(state < SYS_POWER_STATE_MAX, "Invalid power state!");
+	v = atomic_dec(&power_state_disable_count[state]);
+	__ASSERT(v > 0, "Power state disable count underflowed!");
+
+	/* Make compiler happy when assertions are disabled. */
+	(void)(v);
 }
 
-bool sys_pm_ctrl_is_state_enabled(int state)
+bool sys_pm_ctrl_is_state_enabled(enum power_states state)
 {
-	bool enabled = true;
+	__ASSERT(state < SYS_POWER_STATE_MAX, "Invalid power state!");
 
-	switch (state) {
-	case SYS_PM_LOW_POWER_STATE:
-		if (pm_ctrl[0].count) {
-			enabled = false;
-		}
-		break;
-	case SYS_PM_DEEP_SLEEP:
-		if (pm_ctrl[1].count) {
-			enabled = false;
-		}
-		break;
-	default:
-		LOG_WRN("\nInvalid PM state");
-		enabled = false;
-	}
-
-	return enabled;
+	return (atomic_get(&power_state_disable_count[state]) == 0);
 }
diff --git a/subsys/power/policy/policy_dummy.c b/subsys/power/policy/policy_dummy.c
index bde542ec246..cfdc20f8cd4 100644
--- a/subsys/power/policy/policy_dummy.c
+++ b/subsys/power/policy/policy_dummy.c
@@ -57,13 +57,23 @@ static struct sys_pm_policy pm_policy[] = {
 int sys_pm_policy_next_state(s32_t ticks, enum power_states *pm_state)
 {
 	static int cur_pm_idx;
+	int i = cur_pm_idx;
 
-	if (cur_pm_idx >= ARRAY_SIZE(pm_policy)) {
-		cur_pm_idx = 0;
-	}
+	do {
+		i = (i + 1) % ARRAY_SIZE(pm_policy);
 
-	*pm_state = pm_policy[cur_pm_idx].pm_state;
-	LOG_DBG("pm_state: %d, idx: %d\n", *pm_state, cur_pm_idx);
+#ifdef CONFIG_PM_CONTROL_STATE_LOCK
+		if (!sys_pm_ctrl_is_state_enabled(pm_policy[i].pm_state)) {
+			continue;
+		}
+#endif
+		cur_pm_state = i;
+		*pm_state = pm_policy[cur_pm_state].pm_state;
 
-	return pm_policy[cur_pm_idx++].sys_state;
+		LOG_DBG("pm_state: %d, idx: %d\n", *pm_state, i);
+		return pm_policy[cur_pm_state].sys_state;
+	} while (i != curr_pm_idx);
+
+	LOG_DBG("No suitable power state found!");
+	return SYS_PM_NOT_HANDLED;
 }
diff --git a/subsys/power/policy/policy_residency.c b/subsys/power/policy/policy_residency.c
index fec7173eebc..1a82a6ebff2 100644
--- a/subsys/power/policy/policy_residency.c
+++ b/subsys/power/policy/policy_residency.c
@@ -73,15 +73,20 @@ int sys_pm_policy_next_state(s32_t ticks, enum power_states *pm_state)
 	}
 
 	for (i = ARRAY_SIZE(pm_policy) - 1; i >= 0; i--) {
+#ifdef CONFIG_PM_CONTROL_STATE_LOCK
+		if (!sys_pm_ctrl_is_state_enabled(pm_policy[i].pm_state)) {
+			continue;
+		}
+#endif
 		if ((ticks == K_FOREVER) ||
 		    (ticks >= pm_policy[i].min_residency)) {
-			break;
+			*pm_state = pm_policy[i].pm_state;
+			LOG_DBG("ticks: %d, pm_state: %d, min_residency: %d\n",
+				ticks, *pm_state, pm_policy[i].min_residency);
+			return pm_policy[i].sys_state;
 		}
 	}
 
-	*pm_state = pm_policy[i].pm_state;
-	LOG_DBG("ticks: %d, pm_state: %d, min_residency: %d, idx: %d\n",
-			ticks, *pm_state, pm_policy[i].min_residency, i);
-
-	return pm_policy[i].sys_state;
+	LOG_DBG("No suitable power state found!");
+	return SYS_PM_NOT_HANDLED;
 }
diff --git a/subsys/power/power.c b/subsys/power/power.c
index ff2542d11c7..dc444eaad30 100644
--- a/subsys/power/power.c
+++ b/subsys/power/power.c
@@ -81,15 +81,6 @@ int sys_suspend(s32_t ticks)
 
 	sys_state = sys_pm_policy_next_state(ticks, &pm_state);
 
-#ifdef CONFIG_PM_CONTROL_STATE_LOCK
-	/* Check if PM state is locked */
-	if ((sys_state != SYS_PM_NOT_HANDLED) &&
-			!sys_pm_ctrl_is_state_enabled(sys_state)) {
-		LOG_DBG("PM state locked %d\n", sys_state);
-		return SYS_PM_NOT_HANDLED;
-	}
-#endif
-
 	switch (sys_state) {
 	case SYS_PM_LOW_POWER_STATE:
 		sys_pm_notify_lps_entry(pm_state);