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This is a version specifically for tournaments, with a bunch of settings like disabling some features and races:). And there are no cheats either:)
This version is indeed geared towards tournaments (online and offline), but you can also play it against the AI. The thing is, it doesn't have its own campaigns, and the new maps are mainly designed for multiplayer.
As for various disabling options, they do exist, but there aren't many, much fewer than the new and interesting features (such as hero classes, etc.). We didn't even think about disabling races; on the contrary, in TE tournaments, people play with all 9 castles! This was achieved by slightly weakening the "cheating" Conflux and slightly strengthening the unpopular races.
In general, I suggest that everyone interested visit our forum on Heroes League, and here is the list of differences between TE and HoMM3 SoD: http://www.heroesleague.ru/show/1288/TE_Manual