[web2py] raise RuntimeError in new set-up of Eclipse project

[Carl]

I've set-up a new workspace and project in Eclipse but when I run a session 
off web2py.py the standard apps fail to load throwing an exception in dal.py

class SQLiteAdapter(BaseAdapter):
...
def __init__(self, db, uri, pool_size=0, folder=None, db_codec ='UTF-8',
                 credential_decoder=lambda x:x, driver_args={},
                 adapter_args={}):
        if not self.driver:
            raise RuntimeError, "Unable to import driver"

it's that last line that gets called.
If I run the same file from a command line "python web2.py" the apps run 
fine.

Any body any ideas?