C) A setting restricted to the surface of one planet. Picture a starship misjumps, the ship is beyond repair, no one knows where or when they are, and they must colonise the world they crash on to live. Luckily the starship was loaded with supplies for a colonisation attempt. However, the colonists were on this ship (they were waiting for their supplies).
This would be a low tech space story. The people would be trying to rebuild the technology they'd lost. Psions would be trying to get accepted as part of society. Some would welcome them, others fear them, others see them as tools to be used.