Can anybody advise me on how to access internet using above cd? I normally connect through dsl/wired connection/static IP with router and modem. I'm not sure in livecd if I use pppoeconf in terminal (which returns "access concentrator" fault) or if I first configure it within System/Network for static IP. Some sort of guide would be much appreciated.

Most routers will NAT addresses in the 192.168.0 or 192.168.1 networks and many can be configured for other networks. Do that and statically set the IP address each time you boot the live CD. If your router can do DHCP (most can), turn that on (my WRT-54GL had it on by default in the stock software), then the live CD should just pick that up and go. The biggest complication would be setting up wireless if you have a secured network, since you need to provide your keys/secrets to the live CD each time you boot it. I can't comment on what 8.04 has in it. Can you download and burn a more recent version for your CD?

I currently have router set to use PPOE, not sure how to change this to NAT but....
when I connect straight to modem then live cd brings me on to internet through "pppoeconf" without a problem!?