This bug was fixed in the package cloud-init -

cloud-init (0.7.8-1-g3705bb5-0ubuntu1~16.04.1) xenial-proposed; urgency=medium

  * New upstream release 0.7.8.
  * New upstream snapshot.
    - systemd: put After (LP: #1623868)

cloud-init (0.7.7-31-g65ace7b-0ubuntu1~16.04.2) xenial-proposed;

  * debian/control: add Breaks of older versions of walinuxagent (LP:

cloud-init (0.7.7-31-g65ace7b-0ubuntu1~16.04.1) xenial-proposed;

  * debian/control: fix missing dependency on python3-serial,
    and make SmartOS datasource work.
  * debian/cloud-init.templates fix capitalisation in template so
    dpkg-reconfigure works to select OpenStack. (LP: #1575727)
  * d/README.source, d/control, d/new-upstream-snapshot, d/rules: sync
    with yakkety for changes due to move to git.
  * d/rules: change PYVER=python3 to PYVER=3 to adjust to upstream change.
  * debian/rules, debian/cloud-init.install: remove install file
    to ensure expected files are collected into cloud-init deb.
    (LP: #1615745)
  * debian/dirs: remove obsolete / unused file.
  * upstream move from bzr to git.
  * New upstream snapshot.
    - Allow link type of null in network_data.json [Jon Grimm] (LP: #1621968)
    - DataSourceOVF: fix user-data as base64 with python3 (LP: #1619394)
    - remove obsolete .bzrignore
    - systemd: Better support package and upgrade. (LP: #1576692, #1621336)
    - tests: cleanup tempdirs in apt_source tests
    - apt config conversion: treat empty string as not provided. (LP: #1621180)
    - Fix typo in default keys for phone_home [Roland Sommer] (LP: #1607810)
    - salt minion: update default pki directory for newer salt minion.
      (LP: #1609899)
    - bddeb: add --release flag to specify the release in changelog.
    - apt-config: allow both old and new format to be present.
      [Christian Ehrhardt] (LP: #1616831)
    - python2.6: fix dict comprehension usage in _lsb_release. [Joshua Harlow]
    - Add a module that can configure spacewalk. [Joshua Harlow]
    - add install option for openrc [Matthew Thode]
    - Generate a dummy bond name for OpenStack (LP: #1605749)
    - network: fix get_interface_mac for bond slave, read_sys_net for ENOTDIR
    - azure dhclient-hook cleanups
    - Minor cleanups to atomic_helper and add unit tests.
    - Fix Gentoo net config generation [Matthew Thode]
    - distros: fix get_primary_arch method use of os.uname [Andrew Jorgensen]
    - Apt: add new apt configuration format [Christian Ehrhardt]
    - Get Azure endpoint server from DHCP client [Brent Baude]
    - DigitalOcean: use the v1.json endpoint [Ben Howard]
    - MAAS: add vendor-data support (LP: #1612313)
    - Upgrade to a configobj package new enough to work [Joshua Harlow]
    - ConfigDrive: recognize 'tap' as a link type. (LP: #1610784)
    - NoCloud: fix bug providing network-interfaces via meta-data.
      (LP: 1577982)
    - Add distro tags on config modules that should have it [Joshua Harlow]
    - ChangeLog: update changelog for previous commit.
    - add ntp config module [Ryan Harper]
    - SmartOS: more improvements for network configuration
    - tools/read-version: update to address change in version
    - make-tarball: older versions of git with --format=tar.
    - read-version: do not attempt git-describe if no git.
    - Newer requests have strong type validation [Joshua Harlow]
    - For upstream snapshot versions do not modify git-describe output.
    - adjust signal_handler for version changes.
    - revert unintended change to ubuntu sources list
    - drop modification of version during make-tarball, tools changes.
    - adjust tools and version information.
    - Update build tools to work with git [Lars Kellogg-Stedman]
    - fix pep8 errors in mcollective unit tests
    - mcollective: add tests, cleanups and bug fix when no config in /etc.

 -- Scott Moser <>  Thu, 15 Sep 2016 09:57:27 -0400

** Changed in: cloud-init (Ubuntu Xenial)
       Status: Fix Committed => Fix Released

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  cloud-init doesn't prefer new APT config format when old and new are

Status in cloud-init:
  Fix Released
Status in cloud-init package in Ubuntu:
  Fix Released
Status in cloud-init source package in Xenial:
  Fix Released

Bug description:
  ==== Begin SRU Template ====
  New apt configuration was enabled, but if the user provided both new
  configuration format and old configuration format, then then cloud-init
  would error.

  The fixed behavior is to allow new and old and warn if they differ.

  This allows a user to provide the same data for older releases and
  newer release.

  [Test Case]
  # Recreate failure (this would recreate on intermediate versions of
  # cloud-init that were in trusty, but will not on xenial version.
  # testing the working path is still valid though to ensure it functions.
  # you will need to adjust both proxy settings to a local proxy.

  $ cat >user-data <<EOF
    preserve_sources_list: false
    - arches: [default]
    - arches: [default]
      launchpad_3: {source: 'deb 


  $ release=xenial
  $ name=x1
  $ lxc launch ubuntu-daily:$release $name "--config=user.user-data=$(cat 
  $ while ! lxc exec "$name" -- [ -f /run/cloud-init/result.json ]; do sleep 1; 
  $ lxc exec $name -- grep WARN /var/log/cloud-init.log

  ## Now update container, clean and reboot to show first boot
  $ lxc exec $name -- sh -c '
      echo deb $(lsb_release -sc)-proposed 
main > "$p" &&
      apt-get update -q && apt-get -qy install cloud-init'
  $ lxc exec $name -- sh -c '
      cd /var/lib/cloud && for d in *; do [ "$d" = "seed" ] || rm -Rf "$d"; done
      rm -Rf /var/log/cloud-init*'

  $ lxc exec $name reboot

  $ lxc exec $name -- grep WARN /var/log/cloud-init.log || echo no warn

  # this should show us archive used.
  $ lxc exec $name -- grep us.archive /etc/apt/sources.list | grep deb | tail 
-n 3
  $ lxc exec $name -- cat /etc/apt/apt.conf.d/95cloud-init-proxy

  [Regression Potential]
  The apt feature itself (added under bug 1574113) could have regressions, as 
seen in bug 1621180.
  This fix specifically relaxed cloud-init's behavior, making it more backwards 
compatible.  It should not be too prone to regression itself.

  ==== End SRU Template ====

  Trying to use the new configuration format of APT configuration while
  still providing the OLD format, causes cloud-init fails to configure

  cloud-init should be ignoring the old format if the new format is
  provided to ensure backwards compat.

  This is a problem for MAAS provided that we cannot safely
  differentiate / determine what cloud-init version we are using for a
  specific release we are deploying, and as such, we still need to send
  the old config while still providing the new one because:

  1. Yakkety uses newer cloud-init with new format above
  2. Xenial, Trusty, Precise use older cloud-init that doesn't support new 

  And this is a problem because:

  1. MAAS won't be able to use derived repositories in Xenial, Trusty, Precise 
until this gets backported into cloud-init.
  2. Commission is done in Xenial, while deployment in Yakkety, but both may 
require the same config, but it is only supported in Yakkety's cloud-init.
  3. Users may be using old images that may not contain new cloud-init at all, 
and even though the release already supports it, the image they are using 
doesn't and they have to continue to use the old format.
  4. MAAS cannot differentiate/identify which cloud-init version its being 
used, as such, needs to sends both old and new config.

  Aug 25 09:44:17 node02 [CLOUDINIT][ERROR]: Error
  in apt configuration: old and new format of apt features are mutually
  exclusive ('apt':'{'primary': [{'arches': ['default'], 'uri':
  ''}], 'preserve_sources_list':
  True, 'security': [{'arches': ['default'], 'uri':
  ''}], 'sources': {'launchpad_3':
  {'source': 'deb yakkety
  main'}}}' vs 'apt_proxy' key)

  Aug 25 09:51:58 node02 [CLOUDINIT][DEBUG]: Running module apt-
  configure (<module 'cloudinit.config.cc_apt_configure' from
  packages/cloudinit/config/'>) failed#012Traceback
  (most recent call last):#012  File "/usr/lib/python3/dist-
  packages/cloudinit/", line 785, in _run_modules#012
  freq=freq)#012  File "/usr/lib/python3/dist-
  packages/cloudinit/", line 70, in run#012    return, functor, args, freq, clear_on_fail)#012  File
  "/usr/lib/python3/dist-packages/cloudinit/", line 199, in
  run#012    results = functor(*args)#012  File "/usr/lib/python3/dist-
  packages/cloudinit/config/", line 77, in handle#012
  ocfg = convert_to_v3_apt_format(ocfg)#012  File "/usr/lib/python3
  /dist-packages/cloudinit/config/", line 527, in
  convert_to_v3_apt_format#012    cfg =
  convert_v2_to_v3_apt_format(cfg)#012  File "/usr/lib/python3/dist-
  packages/cloudinit/config/", line 489, in
  convert_v2_to_v3_apt_format#012    raise
  ValueError(msg)#012ValueError: Error in apt configuration: old and new
  format of apt features are mutually exclusive
  ('apt':'{'preserve_sources_list': True, 'primary': [{'uri':
  '', 'arches': ['default']}],
  'security': [{'uri': '', 'arches':
  ['default']}], 'sources': {'launchpad_3': {'source': 'deb yakkety main'}}}' vs
  'apt_proxy, apt_preserve_sources_list' key)

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