When creating Windows Azure application in Visual Studio, two projects are created. Under the Windows Azure project, you can find two configuration files and one for the definition. The first one is called ServiceConfiguration.Cloud.cscfg this is the xml file responsible for the configuration for the VM for the role.
The configuration file contains several main thing about the role and its operating system, the number of instances and its configurations and connection strings. Here is a snapshot for the Configuration file, you can find it in this link. I also found this link, I hope you might find it useful.