When I was newer to this, I wanted an XP-G drop-in, and unwisely ended up getting a combo 501B with XP-G from KD. I say unwisely b/c in retrospect, I should've ordered what I wanted, as the host is 'ok' but not really recommendable for various off-topic reasons. To be honest, I got it because it was $13, and was less for the combo than they were selling just the drop-in alone at DX. Anyway, I was surprised (not really shocked) to see the thing draw 2.0 - 2.1 amps at the tailcap, exactly like yours. Haven't noticed any issues yet. I HAVE experienced LED dimming (over time) in an XR-E headlamp which had literally no heatsinking, just a star mounted to a PCB, encased in plastic, right in front of the batteries.
But see the point below:
I realize that's probably very right, even if it's on 'direct drive'... it's still going through that driver. Even 'efficient' (expensive) drivers are--what, 80%, 90% efficient? Even if this thing was 75% efficient, that'd still only be 1.5A getting to the LED... which is right at Cree's new rated max. However, more things depend on that than ratings: particularly heat management. I ended up thermally potting mine a bit with DX thermal glue, though there didn't seem to be a problem with short runs, and didn't do long runs.
The XP-G really converted me to Cree's new 'luxury' line, and I was even more proportionally impressed with the XM-L (not so much with XP-E).
The main problem with that drop-in was the small emitter hole in the refelctor--which, ironically, seemed to have been designed actually FOR the XP-G, yet didn't let enough light out. I actually ruined several rotary attachments boring out the aluminum, only to discover in retrospect that the ideal opening, was the exact same diameter that XR-E reflectors use! There are a lot of XP-G hosts out there crippled by an overly-small emitter hole, which is also too far forward. I'd say my light output doubled, especially spill, when I put on the XR-E reflector.
Further thoughts: that tint was hella COLD, which I could never get over. STRANGE thing was--there wasn't a hint of blue! But I've never seen such cold, yet NON-blue white in my life. Guess that's what I get for bottomfeeding, which made me learn to more carefully choose things based on feedback, and not lottery. I now also realize there was a some of a 'sweatshop' quality to the whole KD package I got (including the 501B host) which makes me feel guilty now that I saw the 'Chinese spark plug factory' thread.
2.0 amps at the tailcap... would like to see one of our more techy members here do a test at the LED (which i have no idea how to do). Nevermind if you have to destroy the thing to do the test. My guess is if it's overdriven, it's probably by a little, but not that much. I think LED's partly limit current naturally too. Like when people replace an XR-E with something better, and suddenly the driver is pulling more. (But I'm not an expert there.)