An Azure service that is used to implement corporate governance and standards at scale for Azure resources.
Hello @Chen Cheng
Thank you for reaching out to Microsoft Q&A.
The error you’re seeing (InvalidPolicyDefinitionVersionRequest: Creating policy definition versions is currently disabled in this environment) is expected with the current platform behavior.
Azure Policy versioning (the ability to create and manage multiple versions under the same definition ID via the /versions path) is currently supported only for built-in policy definitions and initiatives. Support for custom definitions is planned but has not been enabled yet in customer Azure cloud environments.
This is called out explicitly in the Azure Landing Zones documentation:
“As of March 2025, Azure Policy version only supports built-in policies and initiatives. Custom policies and initiatives are not supported but are planned.” https://azure.github.io/Azure-Landing-Zones/policy/policyversioning/
The official definition-structure docs also describe the multi-version capability in the context of built-ins only: https://learn.microsoft.com/en-us/azure/governance/policy/concepts/definition-structure-basics#version-preview
There is no public feature flag or self-service registration that unlocks custom versioning at the moment (which matches what you already checked with az feature list).
You can do:
- Continue managing custom policy versions yourself via the metadata.version property and source control (Git + CI/CD). This remains the recommended approach for custom definitions.
- When you need a breaking change, either update the existing definition in place or create a new definition with a different name.
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