How the partner earned credit is calculated and paid

Appropriate roles

  • Global admin
  • User admin
  • Admin agent
  • Billing admin
  • Sales agent

Partner earned credit for managed services (PEC) recognizes and rewards partners that own the 24x7 IT operational control and management of parts of, or the entire, Azure environment of their customers. By default, in CSP, partners are granted the necessary access rights to the customer's subscription allowing them to perform 24 X 7 operational management and control of the resources on the subscription. Additional ways in which customer can provision access for transacting partner is described in the following section. The monthly invoice amount is net of partner earned credit. Partners can see the PEC details on their monthly recon file. For additional ways in which a customer can provision access for the transacting partner, read Manage subscriptions and resources under the Azure plan.

Also read Reinstate admin privileges for Azure CSP subscriptions

Important eligibility and calculation information

  • Partner should have an active MPN agreement and valid RBAC role to receive earned credit for the Azure assets they manage.

  • In the case of indirect providers and their indirect resellers, the indirect provider will be eligible for PEC if either the indirect provider, or the indirect reseller or both have 24x7 operational control and management of the customer's Azure resources in CSP.

  • PEC is associated to billed (chargeable) consumption of customer's Azure estate in CSP managed by the partner. PEC is made available only to partners in CSP billed by Microsoft (indirect provider and direct bill partner).

  • Eligible services: Partner earned credit is applicable to services listed in the Azure plan consumption pricing which partners can export from the Azure plan pricing page. Partner earned credit is not applicable to third-party products identified as Third Party in the Tags column of the Azure plan consumption price list, Azure Plan reservations, products in the Marketplace price list and Azure Spot Virtual Machines.

  • PEC is calculated daily and can be viewed in the daily usage file and monthly invoice recon file. A partner (indirect provider or indirect reseller) must have access for the entire day (24x7) to ensure they earn PEC. PEC is calculated on daily basis on the managed Azure assets. The maximum PEC for a given billing period (Month) is 15%. Partners retaining persistent privileged access through the month(span of access) and for all the eligible resources (scope of access) will earn full PEC of 15%. Scope and span reduction will result in lower PEC rate for the month. Daily rated usage file shows on daily basis on an Azure asset whether PEC is applied or not. Partners can also enroll in alerts to detect if there are changes to persistent privileged access.

  • PEC is earned down to the Azure resource level. If the partner has valid access at the subscription, or resource group level, each resource that roles up to the higher entity will earn PEC.

  • PEC details will also be available on Azure Cost management

Azure Cost Management

Azure Cost Management (ACM) using Cost Analysis enables you as a partner to view the costs that have received the benefit of PEC.

  1. In the Azure portal, sign into your partner tenant and select Cost Management + Billing.

  2. Select Cost management

  3. Select Cost Analysis

    The Cost Analysis view will display the costs for your billing account, for all the services purchased and consumed at the prices that you pay Microsoft.

  4. Select PartnerEarnedCreditApplied in the drop down on a pivot chart to see costs that have PEC applied. When PartnerEarnedCreditApplied property is True, the associated cost has the benefit of the partner earned credit.

When the PartnerEarnedCreditApplied property is False, the associated cost has not met the required eligibility for the credit or the service purchased is not eligible for partner earned credit.

Note

Typically, usage for services takes 8-24 hours to appear in Cost Management and the PEC credits will appear within 48 hours from time of access in Azure Cost Management.

  1. You can also group by, and filter by, the PartnerEarnedCreditApplied property using the Group by and Add filter features to drill into costs that have PEC and the costs that have no PEC applied.

Next steps