I was speaking more of the PSP[1] (python server pages) component of mod_python, but I guess that component was released later in 2004[2].
Note: I make no recommendation for its usage. I personally consider 'start with html and add dynamic bits', for anything beyond the trivial, as an anti-pattern.
[1]: http://www.modpython.org/live/current/doc-html/pyapi-psp.html
[2]: https://en.wikipedia.org/wiki/Python_Server_Pages