diff --git a/share/etc/oned.conf.template b/share/etc/oned.conf.template
index 439c01053c..31d68da491 100644
--- a/share/etc/oned.conf.template
+++ b/share/etc/oned.conf.template
@@ -82,7 +82,7 @@ MAC_PREFIX   = "02:00"
 #       vd        KVM virtual disk
 #*******************************************************************************
 
-IMAGE_REPOSITORY_PATH = [IMAGES_LOCATION]
+#IMAGE_REPOSITORY_PATH = /srv/cloud/var/images
 DEFAULT_IMAGE_TYPE    = "OS"
 DEFAULT_DEVICE_PREFIX = "hd"
 
diff --git a/src/nebula/Nebula.cc b/src/nebula/Nebula.cc
index 6d7637e11b..8b28763267 100644
--- a/src/nebula/Nebula.cc
+++ b/src/nebula/Nebula.cc
@@ -241,12 +241,6 @@ void Nebula::start()
         upool  = new UserPool(db);
 
         nebula_configuration->get("IMAGE_REPOSITORY_PATH", repository_path);
-
-        if (repository_path.empty()) // Defaults to ONE_LOCATION/var
-        {
-            repository_path = var_location;
-        }
-
         nebula_configuration->get("DEFAULT_IMAGE_TYPE", default_image_type);
         nebula_configuration->get("DEFAULT_DEVICE_PREFIX",
                                   default_device_prefix);
diff --git a/src/nebula/NebulaTemplate.cc b/src/nebula/NebulaTemplate.cc
index 0e94046082..a38f592fd2 100644
--- a/src/nebula/NebulaTemplate.cc
+++ b/src/nebula/NebulaTemplate.cc
@@ -31,60 +31,114 @@ NebulaTemplate::NebulaTemplate(string& etc_location, string& var_location)
 {
     ostringstream       os;
     SingleAttribute *   attribute;
+    VectorAttribute *   vattribute;
     string              value;
 
     conf_file = etc_location + conf_name;
 
+    // MANAGER_TIMER
+    value = "15";
+
+    attribute = new SingleAttribute("MANAGER_TIMER",value);
+    conf_default.insert(make_pair(attribute->name(),attribute));
+
+/*
+#*******************************************************************************
+# Daemon configuration attributes
+#-------------------------------------------------------------------------------
+#  HOST_MONITORING_INTERVAL
+#  VM_POLLING_INTERVAL
+#  VM_DIR
+#  PORT
+#  DB
+#  VNC_BASE_PORT
+#*******************************************************************************
+*/
+    // MONITOR_INTERVAL
+    value = "600";
+
+    attribute = new SingleAttribute("HOST_MONITORING_INTERVAL",value);
+    conf_default.insert(make_pair(attribute->name(),attribute));
+
     // POLL_INTERVAL
-    value = "300";
-    
+    value = "600";
+
     attribute = new SingleAttribute("VM_POLLING_INTERVAL",value);
     conf_default.insert(make_pair(attribute->name(),attribute));
 
-    // MANAGER_TIMER
-    value = "30";
-    
-    attribute = new SingleAttribute("MANAGER_TIMER",value);
-    conf_default.insert(make_pair(attribute->name(),attribute));
-    
-    // MONITOR_INTERVAL
-    value = "300";
-    
-    attribute = new SingleAttribute("HOST_MONITORING_INTERVAL",value);
-    conf_default.insert(make_pair(attribute->name(),attribute));
-    
-    //XML-RPC Server PORT
-    value = "2633";
-    
-    attribute = new SingleAttribute("PORT",value);
-    conf_default.insert(make_pair(attribute->name(),attribute));
-       
-    //VM_DIR        
+    //VM_DIR
     attribute = new SingleAttribute("VM_DIR",var_location);
     conf_default.insert(make_pair(attribute->name(),attribute));
-    
-    //MAC_PREFIX    
-    value = "00:01";
-    
-    attribute = new SingleAttribute("MAC_PREFIX",value);
+
+    //XML-RPC Server PORT
+    value = "2633";
+
+    attribute = new SingleAttribute("PORT",value);
     conf_default.insert(make_pair(attribute->name(),attribute));
 
-    //NETWORK_SIZE    
-    value = "254";
-    
-    attribute = new SingleAttribute("NETWORK_SIZE",value);
-    conf_default.insert(make_pair(attribute->name(),attribute));
+    //DB CONFIGURATION
+    map<string,string> vvalue;
+    vvalue.insert(make_pair("BACKEND","sqlite"));
 
-    //NETWORK_SIZE
+    vattribute = new VectorAttribute("DB",vvalue);
+    conf_default.insert(make_pair(attribute->name(),vattribute));
+
+    //VNC_BASE_PORT
     value = "5900";
 
     attribute = new SingleAttribute("VNC_BASE_PORT",value);
-    conf_default.insert(make_pair(attribute->name(),attribute));    
-    
-    //DEBUG_LEVEL    
-    value = Log::WARNING;
-    
-    attribute = new SingleAttribute("DEBUG_LEVEL",value);
+    conf_default.insert(make_pair(attribute->name(),attribute));
+
+    //XML-RPC Server PORT
+    value = "2633";
+
+    attribute = new SingleAttribute("PORT",value);
+    conf_default.insert(make_pair(attribute->name(),attribute));
+/*
+#*******************************************************************************
+# Physical Networks configuration
+#*******************************************************************************
+#  NETWORK_SIZE
+#  MAC_PREFIX
+#*******************************************************************************
+*/
+    //MAC_PREFIX
+    value = "02:00";
+
+    attribute = new SingleAttribute("MAC_PREFIX",value);
+    conf_default.insert(make_pair(attribute->name(),attribute));
+
+    //NETWORK_SIZE
+    value = "254";
+
+    attribute = new SingleAttribute("NETWORK_SIZE",value);
+    conf_default.insert(make_pair(attribute->name(),attribute));
+
+/*
+#*******************************************************************************
+# Image Repository Configuration
+#*******************************************************************************
+#  IMAGE_REPOSITORY_PATH
+#  DEFAULT_IMAGE_TYPE
+#  DEFAULT_DEVICE_PREFIX
+#*******************************************************************************
+*/
+    //IMAGE_REPOSITORY_PATH
+    value = var_location + "/images";
+
+    attribute = new SingleAttribute("IMAGE_REPOSITORY_PATH",value);
+    conf_default.insert(make_pair(attribute->name(),attribute));
+
+    //DEFAULT_IMAGE_TYPE
+    value = "OS";
+
+    attribute = new SingleAttribute("DEFAULT_IMAGE_TYPE",value);
+    conf_default.insert(make_pair(attribute->name(),attribute));
+
+    //DEFAULT_DEVICE_PREFIX
+    value = "hd";
+
+    attribute = new SingleAttribute("DEFAULT_DEVICE_PREFIX",value);
     conf_default.insert(make_pair(attribute->name(),attribute));
 }
 
@@ -95,31 +149,31 @@ NebulaTemplate::NebulaTemplate(string& etc_location, string& var_location)
 int NebulaTemplate::load_configuration()
 {
     char *                              error = 0;
-    map<string, Attribute *>::iterator  iter, j;    
+    map<string, Attribute *>::iterator  iter, j;
     int                                 rc;
-    
+
     string      aname;
     Attribute * attr;
-    
+
     rc = parse(conf_file.c_str(), &error);
-    
+
     if ( rc != 0 && error != 0)
     {
 
         cout << "\nError while parsing configuration file:\n" << error << endl;
 
         free(error);
-        
+
         return -1;
     }
-    
+
     for(iter=conf_default.begin();iter!=conf_default.end();)
     {
         aname = iter->first;
         attr  = iter->second;
-        
+
         j = attributes.find(aname);
-        
+
         if ( j == attributes.end() )
         {
             attributes.insert(make_pair(aname,attr));
@@ -131,7 +185,7 @@ int NebulaTemplate::load_configuration()
             conf_default.erase(iter++);
         }
     }
-    
+
     return 0;
 }