It sounds like you don't have the RemoteServer set up. Either the ATE workstation needs the Perl WriteExcel extension configured (in which case no RemoteServer is needed), or you have to set up a PLXSV1 server running on a network-accessible machine (typically the Linux server running the app) and set the RemoteServer option in the PRTXLS.INI to point to it.
It's admittedly not that easy to set up. And furthermore it requires reports that are conducive to automatic conversion to spreadsheet format.
Note that if you are interested in generating XLS documents from the application, under A-Shell 6.3 we have the LIBXL package available which allows you to either convert CSV files to XLS files (with several enhancements over the default CSV import mechanism), or you can read/write to XLS files directly for more-or-less arbitrary spreadsheet capabilities.
As an aside, Maurice, are you getting my emails? (You seem to be waiting for a response on the Web Connect project but I haven't gotten any response from the last 3 messages I've sent.)