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What would the balancing issues of Chaos being able to pick and choose which powers they wanted without having to roll? Just out of curiosity.

I wouldn't have a problem with it as long as everybody got to do it.

It would be unbalanced if it was just one army not all.

Although I take it the powers would be still be restricted by Mark?

Absolutely. No reason to change that. It's very fluffy, and every mark has at least one useful power.

Codex Powers would be allowed to be chosen. I think the BRB Psychic powers would still be rolled for. Sound fair?

Like I said, I wouldn't have a problem with codex powers being chosen (subject to mark limitations like you said) as long as every codex with psykers has the option to do it.

I mean, it hardly makes sense to me that an all powerful psyker like a Chaos Sorceror or Eldar Farseer wouldn't know their powers prior to the battle.

OK, I know Eldar still buy their powers, but I expect that to change when their codex is released.

Honestly, I think a better compromise between "Choose all powers in one go" and "Random Rolls" would be to give the Psyker 2+Mastery Level powers. The psyker has to take the signature power of a discipline before taking a WC 1 power, and has to take a WC 1 power before a WC 2.

Obviously this would require rewriting the order of power progression, lest people tech up one discipline while finishing off with Divination's Sig.