Controlling Telldus Znet Lite v2 without going via Telldus Cloud

There are a number of inconclusive threads here in the forum on controlling the Telldus Znet Lite v2 via it’s local API. I have been able to get the option to use the local API by adding

tellduslive:
  host: 192.168.1.xx

in my configuration but when configuring the Telldus Live integration I cannot get past the part where you need to log into Telldus Live, which should not be necessary.

Have anyone figured this one out?