NEP and WSS 3.0

I downloaded the new NEP install from the partnersource site that works with WSS 3.0. I went through the setup guide and when it came time to create the NEP demo site in WSS 3.0, using the NEP template installed by the setup.exe…it errors out indicating I cannot install WSS v2 templates on a v3 site. So uh…what the heck? Anyone know if this new NEP that requires WSS 3.0 installed as a prereq works on WSS v3? Or do I have to go back and install WSS v2?

Just so you know…it was working using the NEP install from the source DVD using WSS 2.0. Then I uninstalled WSS 2.0 and installed WSS 3.0 and ran the install wizard for the new NEP.

Any clarity in this matter would be great.

just to add:
OS = Windows Server 2003
NAV = 5.0

Where should I add these lines?

Thanks for answer.

Ooops I’ve read posts above too fast. [:$]

Does anyone know how could this problem be solved?

Thanks in advance.