For the great locomotive test on the N&W, the railroad was not the only one to try to make sure its locomotive came out on top. After the fact, EMD admitted to adjusting the fuel racks on the F7s to give them almost 1800hp instead of the factory 1500.
As for the SD70, I think it had more to do with Federal emissions laws than fuel economy, though that probably played a part. The early SD45 had a problem with throwing lube oil from the extra long crankshaft. That, and 4 more power assemblies for a mere 600 horsepower, more than fuel consumption, were what made the SD45 not so great. The same thing held the SD80 to the original units built for Conrail, only 700 more horsepower from 20 cylinders vs 16. Now, GE is managing to regularly get 4400hp from 12 cylinders.
The SD90/43 was supposed to get the 6000hp 16V265H engine when it became available, but the H engine had so many problems, UP ran screaming away from them. The same thing happened with GE and the 6000hp HDL that was supposed to go in the AC4400 convertibles. The Deutz engine developed a nasty habit of breaking internal engine components. A few AC6000CWs have had their Deutz engines replaced with 16 cylinder GEVO engines, with good results so far.
Oh, and the "1400hp" for the FT? The engine really only put out 1350. Creative marketing, even in 1939.