diff --git a/.changeset/tricky-pigs-smoke.md b/.changeset/tricky-pigs-smoke.md
new file mode 100644
index 0000000000000..e147d49e3ee28
--- /dev/null
+++ b/.changeset/tricky-pigs-smoke.md
@@ -0,0 +1,5 @@
+---
+'@backstage/plugin-scaffolder-backend-module-azure': patch
+---
+
+Publish Azure action now uses basic authentication to authenticate to Git when Azure integration is configured to use App Registration/Service Account or Managed Identity.
diff --git a/plugins/scaffolder-backend-module-azure/src/actions/azure.ts b/plugins/scaffolder-backend-module-azure/src/actions/azure.ts
index a284f463a6b77..518d2acbf72fa 100644
--- a/plugins/scaffolder-backend-module-azure/src/actions/azure.ts
+++ b/plugins/scaffolder-backend-module-azure/src/actions/azure.ts
@@ -207,13 +207,10 @@ export function createPublishAzureAction(options: {
           : config.getOptionalString('scaffolder.defaultAuthor.email'),
       };
 
-      const auth =
-        ctx.input.token || credentials?.type === 'pat'
-          ? {
-              username: 'notempty',
-              password: ctx.input.token ?? credentials!.token,
-            }
-          : { token: credentials!.token };
+      const auth = {
+        username: 'notempty',
+        password: ctx.input.token ?? credentials!.token,
+      };
 
       const commitResult = await initRepoAndPush({
         dir: getRepoSourceDirectory(ctx.workspacePath, ctx.input.sourcePath),