Just came across this thread and was hoping someone could help with this issue.....
We have a multi-tier environment and have it set up as Ankit has suggested above. In our case we have a development, staging, and production environment. We also have a central repository for each environment.
After doing steps 1 - 3 we log into our staging environment and connect to the development central repository. I activate that connection but when I look at the central object library what I am seeing is our staging central object library even though it is not active. Is there a step I am missing somewhere or is this possibly a bug? We are on Data Services 4.0, version 14.0.2.462