An email is automatically sent to a new user if you enter his/her email address on creation.
If you want to resend it you can use the 3-dot menu to the right:
Yes, mail configuration is working and if I create a user with email the welcome mail is sent out. Problem is that I want to create user with no password and let Nextcloud sent a registration mail to user so he/she can set own password.
Hm, that’s strange. It’s what I’m doing here on 16 and 17 in everyday user management since quite a while without issues (except expired activation links).
On creating a new user I do set login ID, Displayname, E-Mail address, add the user to the necessary groups and do not touch the password field.
On our instances this sends out an E-Mail to the user with an activation link without a preset password and the users can set their password when following the link.
What happens on your instance?
Did you try to (experimentally) set the minimal password length under settings/security/password policy to “0”. Although this isn’t a problem on our 17.0.2 setup, you might want to give it a try.
Could you post the related nextcloud log entry here? Please make sure to remove potentially sensitive data.