Thanks to almeath, I could test it for myself. Here is my story:
I tried to boot an existing 8.6 installation from my g3 b&w on the g4 sawtooth (it has the onboard firewire port) - but had no success. "trap not implemented" + bomb. ROM file was 1.6; changed the ROM file to something newer, originating from OS 9. again: no success - "trap not implemented". even with extensions off.
Once I had a Powerbook G4 1GHz, the last model booting OS 9.2.2; it had the same symptoms, until I got the right ROM file, which was definitely newer than anything you could get via updates. later I found a really new ROM file on a CD which came with an iMac and Panther. There is a classic environment "onboard" which has ROM version 10.2.1 and dates from April 2003...
Back to Sawtooth! Given this experience and plenty of information from the apple info sites regarding model bootability (
http://docs.info.apple.com/article.html?artnum=25114) it is as clear as can be: Sawtooth needs its own ROM file!
Thanks again to almeath - I got his file. and tried again. This time sadly I didn't even get the bomb... it stopped just with a grey screen. I couldn't believe it, swapped graphic cards (different Rage128 Versions, even PCI) - still no success.
Regarding all the Firmware flashing discussions above, I thought I should try to backflash to an earlier version. My Sawtooth got the newest Firmware available once a while ago. It has Boot Rom Version 4.2.8f1 built on 10/11/01 ! So, was 8.6 bootability disabled through firmware?
I remembered, I had tested a Newertech CPU Upgrade this summer in this machine, and perhaps you know, there are some firmware modifications necessary to boot this new 7448 PPCs. So I removed the firmware patches, but had still no success. There is some code in NVRam, which has to be activated to boot either OS 9 or X with this 7448 CPU. This CPU is not installed now, instead it's the original 400 MHz G4. so no 8.6 boot - d*** machine!
Wanting to give up, I had a last idea - what's about resetting this NVram? booted to open firmware, typed reset-nvram, then restarted - et voilà: happy mac with 8.6 big on screen! successful booting! Now I had my original 8.6 installation from g3 b&w running on my sawtooth with just this 2.5.1 ROM file!
WOW!

thank you, almeath!
conclusion: OS 8.6 booting is *not* deactivated via firmware update, so there is no need to backflash. It's the ROM file which has to be the right one. and zapping PRAM still helps sometimes...