I'm confused by your comment.

Why do I need to "--connect lxc:///"  to connect to qemu driver?

Why do I not need this in Ubuntu 12.04.1 LTS?

I can run this command: "virt-install --name nam --ram 4096 --disk
path=/var/lib/libvirt/images/nam.img,bus=virtio --import --noautoconsole
--network network:default,model=virtio" in Ubuntu 12.04 and create a VM.

I don't get how this is related to LXC!

Per your comment, I did try the following -

root@srvr-931:~# virt-install --connect lxc:/// --name nam --ram 4096
--disk path=/var/lib/libvirt/images/nam.img,bus=virtio --noautoconsole
--network network:default,model=virtio --force

Starting install...
Creating domain...                                                              
                                                                                
                      |    0 B     00:00     
Domain creation completed. You can restart your domain by running:
  virsh --connect lxc:/// start nam

root@srvr-931:~# virsh --connect lxc:/// start nam
error: Domain is already active

root@srvr-931:~# virsh list --all
 Id    Name                           State
----------------------------------------------------



** Changed in: libvirt (Ubuntu)
       Status: Invalid => New

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https://bugs.launchpad.net/bugs/1301598

Title:
  Unable to create guest VM using virt-install

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