Below are a couple example configurations for PPPoE. Note that you can run into MTU issues when trying to use OSPF over PPPoE. This can easily be resolved by using the “ip ospf mtu-ignore” command as the dialer interface’s MTU is 1492 while the virtual-template’s (virtual-access) MTU is 1500.
*** Client *** interface Ethernet0/0 pppoe enable pppoe-client dial-pool-number 1 ! interface Dialer1 ip address 142.1.35.5 255.255.255.0 encapsulation ppp dialer-pool 1 dialer persistent *** Server *** vpdn enable ! vpdn-group CISCO accept-dialin protocol pppoe virtual-template 1 ! interface Ethernet0/0 pppoe enable ! interface Virtual-Template1 ip address 142.1.35.3 255.255.255.0
The next example is using DHCP to assign the client their IP address:
*** Client *** interface Ethernet0/1 pppoe enable pppoe-client dial-pool-number 1 ! interface Dialer1 ip address dhcp encapsulation ppp dialer pool 1 dialer persistent *** Server *** ip dhcp excluded-address 191.1.45.1 190.12.45.3 ! ip dhcp pool MYPOOL network 191.1.45.0 255.255.255.0 ! vpdn enable ! vpdn-group CISCO accept-dialin protocol pppoe virtual-template 1 ! interface Ethernet0/0 pppoe enable ! interface Virtual-Template1 ip address 191.1.45.5 255.255.255.0 peer default ip address dhcp-pool MYPOOL

Hi Brian,
But in that case server will not be able to ping its own interface. To ping own interface of server
*** Server ***
ip dhcp excluded-address 191.1.45.1 190.12.45.3
!
ip dhcp pool MYPOOL
network 191.1.45.0 255.255.255.0
!
vpdn enable
!
vpdn-group CISCO
accept-dialin
protocol pppoe
virtual-template 1
!
interface Ethernet0/0
ip address 191.1.45.5 255.255.255.0
pppoe enable
!
interface Virtual-Template1
ip unnumbered e0/0
peer default ip address dhcp-pool MYPOOL
Please correct if i am wrong.
In Lab do we need to ping own interface of server in VPDN’s.
Regards
Saptanshu