The template types are th ones defined in the ad types program. Auctions are a setting you can setup and are usually done in forsale. In admin edit categories you check the box on a category you want to allow bidding into and then a user can check to allow bidding or not. If they allow bidding it is an auction.
You have in turn made a new template set without creating the templates.
FAQ--How to Create Additional Template Set's in Classifieds