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If you’re facing issues with subnet delegation, Azure CNI, or identity roles in Azure, and your portal shows an InternalServerError, here’s a step-by-step guide to troubleshoot and find a solution.
First, verify that your subnet delegation is set up correctly. The subnet you want to associate with the Azure Container Groups (AGC) must be dedicated and empty. Make sure it is in the same region as your other resources and delegated specifically to “Microsoft.ServiceNetworking/trafficControllers.” Keep in mind that Azure currently supports only one association per subnet, so the mapping needs to be precise.
Next, check your AKS cluster’s configuration. It should be using Azure CNI rather than kubenet. The subnet where your AGC resides must be reachable from your cluster’s virtual network. Additionally, the identity used by the Application Gateway (AG) Controller needs proper permissions. You’ll want to ensure it has the “AppGw for Containers Configuration Manager” role assigned along with network permissions. This role grants data actions that go beyond what Owner or Contributor roles provide.
If you’ve confirmed that all these settings are correct and the parent AGC resource still doesn’t reach a “Succeeded” status, the problem might be beyond Terraform and your portal. In this case, check the Activity Log for hidden details. Sometimes, creating a new AGC in a fresh Virtual Network (VNet) and subnet within the same region can resolve the issue. If that still doesn’t work, open a support ticket with detailed correlation and activity IDs. Ask them to investigate the provisioning process for “Microsoft.ServiceNetworking/trafficControllers” in the West Europe region or your specific location.
Taking these steps should help you troubleshoot the problem effectively. If this guide helps you resolve the issue, please consider accepting it to let others know.




