The decision brings to an end three years of cross border activity which has brought benefits to both Unions.
However, the expansion of the Scottish District set-up coupled with the need to reduce the demands on the leading players were influencing factors in settling on this agreement.
It was felt that 22 league fixtures represented an unacceptable high figure, when combined with the other demands on players in a pre World Cup season.
Secretary of the Welsh Rugby Union Dennis Gethin said "A fully fledged Celtic League is of paramount importance and we are working towards achieving that goal. To avoid overplaying our top players and for administrative reasons, the forthcoming 2003 World Cup will delay its implementation. However we are confident that as soon as it is practicable, we will have in place a cross border competition of which we can be proud and which will enhance playing standards. We thank the Scots for three excellent seasons of competitive club rugby".
SRU Director of Rugby Jim Telfer said " When you consider that our top players will play 11 internationals next season and a minimum of seven Celtic League games and a minimum of six Heineken Cup matches, plus our own provincial competition, them we will be already around the optimum 30 games. We have to guard against player burn-out and that becomes an even more important issue as the 2003 Rugby world Cup looms"
WRU TV were on hand at the launch of a major new commercial deal with WRU and Mercedes-Benz South Wales (part of the Sinclair Group), which sees the family company become an official supplier to the Welsh Rugby Union
On the back of the recent Women's Rugby World Cup, the WRU has launched a revitalised Women's and Girls domestic seasonal structure, and the future is looking bright.
Go to www.wru.co.uk/tryourgame for more information
Roger Lewis talks to WRU TV at the announcement of a new £60 million Rugby Services Agreement (RSA) which provides a new and positive contractual relationship between the WRU and its four Regions for the next six years has been agreed.
The Welsh Rugby Union has announced a major new sponsorship deal with Gullivers Sports Travel which will make the UK's leading, and longest established, multi-sport tour operator, an Official Supplier for the rest of the decade.
Having taken part in seven World Cups as a player and coach, Liza Burgess hopes to go out in style this afternoon when Wales take on Australia in the Play-off for seventh and eighth place in the Women's Rugby World Cup in Paris.
WRU Head of Rugby Josh Lewsey met with volunteers across the game earlier this week, championing their role in the sport. He was joined by Wales captain Sam Warburton for part of the day as volunteers took part in a 'Try Out' event for the 2015 Rugby World Cup
Wales Women may not have got the results they wanted recently on the field, but off it they have made massive strides in strength and conditioning - and that is in no small part due to S&C coach Sam Dodge.