I recall reading a story about Hollywood Electrics when they did their first Pike's Peak Hill Climb. They reduced the brake regen to zero in order to manage battery temperatures, according to the article. I think Kocho is on to something.
Pike's Peak Hill Climb is a literal hill climb motorcycle race, so regen is a waste and small differences mean a lot. This is not how one should decide to operate in traffic.
As for what level of current is produced by slowing a motorcycle via regen... I don't know, but I don't see why it couldn't be the full 1.2 kW. It certainly slows the bike down right quick.
It's more than that. I'm not sure what "the full 1.2 kW" is supposed to mean, since no specific levels of heat production have been cited. If you mean the rate at which the onboard charger operates, regen can easily exceed that, but I'm unsure how much. But charging below 4kW produces a negligible amount of heat in the battery (in my observations and from hearsay), and regen seems to be in that range. Using 100A going down the highway discharges at a ~10kW rate for reference. I have the impression that regen power would be under 40% of that (judging by the idea that the torque range for regen is capped at 40% and there are pre-battery losses).
Power flows in, power flows out. Heat will be produced from inefficiencies.
Yes, just quantify that power and duty cycle to carry a sense of scale/proportion.