I tested with another username than "ubuntu" and it works (I was able to login and change the password).
So I suspect cloud-init (or something else) is messing with this specific user even though you removed the configuration from the image definition.
So it looks like ubuntu-image is working as expected.
I tested with another username than "ubuntu" and it works (I was able to login and change the password).
So I suspect cloud-init (or something else) is messing with this specific user even though you removed the configuration from the image definition.
So it looks like ubuntu-image is working as expected.