Configure Azure Service Principal

Azure has a notion of a Service Principal which is a service acount. This doc will demonstrate how to set up an Azure service principal that can be used by Terraform to execute Jenkins X Azure Module

💡 This doc has been designed to assist in performing the demonstration through copying and pasting each block of code into a shell terminal.

To execute the commands listed in your local bash shell will require the Azure CLI and the JQ command-line JSON processor.

To execute the commands listed in Bash in Azure Cloud Shell does not require any additional software installed.

Service principal privileges

In order to build your Azure environment with Terraform using a service principal, the following are the minimal requirements:

  • Subscription built-in roles;ContributorandUser Access Administator.
  • Microsoft Entra ID App registration admin role;Cloud Application Administrator.
  • Microsoft Graph API permission;Application.ReadWrite.All.

Further details can be found under Jenkins X Azure Module Prequisites

Create service principal with subscription roles

The first step is to create a new service principal (APP_NAME) and to assign it the subscription built-in roles Contributor and User Access Administrator.

💡 If you are using a local terminal, prior to executing the following commands, in the local terminal log into Azure (az login) with an ID that has the necessary privileges (i.e. Owner). Always perform all commands in the same local terminal session to preserve dependent variables that are created.

If you are using Bash in Azure cloud shell, there is no need to login (az account show). Once again take caution not to lose the bash session in the portal web page.

read -p "Service Principal (i.e. mySvcPr) : " APP_NAME

After setting the APP_NAME variable (i.e. mySvcPr) copy and paste the following to create the service principal.

SUBSCRIPTION_ID=$(az account show --query id --output tsv)
SVCP=$(az ad sp create-for-rbac --role Contributor --name $APP_NAME --scopes /subscriptions/$SUBSCRIPTION_ID --output json --only-show-errors)
APP_ID=$(echo $SVCP | jq -r .appId)
OBJ_ID=$(az ad sp list --filter "appId eq '$APP_ID'" --output json | jq '.[0].id' -r)
PASS_ID=$(echo $SVCP | jq -r .password)
TENANT_ID=$(echo $SVCP | jq -r .tenant)
az role assignment create --role "User Access Administrator" --assignee-object-id $OBJ_ID --assignee-principal-type "ServicePrincipal" --scope /subscriptions/$SUBSCRIPTION_ID --only-show-errors

Use the following command to check the service principal subscription role settings.

az role assignment list --assignee $APP_ID --query [].roleDefinitionName --output json --only-show-errors

You should see the following:

  "User Access Administrator",

Assign new service principal with owner (optional)

The second step will be to assign the new service principal an owner. This step is optional but is recommended for ease in maintenance. At this pointtThe new service principal will already have a Cloud Application Administrator role assigned.

# Assign the current login as owner of the new service principal
az ad app owner add --id $APP_ID --owner-object-id $(az ad signed-in-user show --query id --output tsv)

Assign service principal graph API permission

The final step will be to assign the new service principal the Microsoft Graph API permissions.

# Microsoft Graph API Id (03)
# Extract application_readwrite_add ID
APPLICATION_READWRITE_ALL_ID=$(az ad sp show --id $API_ID --query "appRoles[?value=='Application.ReadWrite.All'].id" --output tsv)
# Add API permission to SP
az ad app permission add \
  --id $APP_ID \
  --api $API_ID \
  --api-permissions \
# Grant API permission to SP
az ad app permission grant \
  --id $APP_ID \
  --api $API_ID \
  --scope /subscriptions/$SUBSCRIPTION_ID
# Granting consent for API permission
APP_OBJECT_ID=$(az ad sp show --id $APP_ID --query "id" --output tsv)
API_OBJECT_ID=$(az ad sp show --id $API_ID --query "id" --output tsv)
az rest \
  --method POST \
  --uri "$APP_OBJECT_ID/appRoleAssignments" \
  --headers '{"Content-Type": "application/json"}' \
  --body "{\"principalId\": \"$APP_OBJECT_ID\", \"resourceId\": \"$API_OBJECT_ID\", \"appRoleId\": \"$APPLICATION_READWRITE_ALL_ID\"}" \

Use the following command to check the service principal API settings.

az ad app permission list --id $APP_ID --only-show-errors --output table

You should see something like the following:


Prepare to run Terraform

Once the service prinicpal is created and assigned the appropriate roles and permissions, it can now be used by Terraform to execute the Jenkins X Azure module. In order for Terraform to use the service principal credentials you need to specify service principal credentials in environment variables


The following Azure CLI commands will display the role assignment list, app permissions list , and a portal URL for the service principal. It will also export the necessary ARM_ variables required for Terraform credentials.

echo $APP_NAME
echo $SVCP
az role assignment list --assignee $APP_ID --query [].roleDefinitionName --output json --only-show-errors
az ad app permission list --id $APP_ID --only-show-errors
echo "Check Service Principal at:"
echo "$APP_ID"
eval export ARM_CLIENT_ID=$APP_ID
env | grep ARM_

At this point you should now be ready to perform the Terraform steps to build the environment using the service principal credentials. You should keep the Terraform environment variables (ARM_) values in a safe place until the service principal resource is deleted. You can find more details on managing the service principal by viewing Create an Azure service principal with the Azure CLI.

Clean up

Clean up is straightforward. Once you delete the service principal all roles and permissions are also deleted as well. The following Azure CLI commands will remove the roles and service principal.

az ad sp delete --id $APP_ID --only-show-errors

In the above command you also can use $ARM_CLIENT_ID which is the same value as $APP_ID to delete the resource.

Last modified January 27, 2024: Update (a595fe69e3)