[DataSource.Error] Credentials are required to decrypt this workbook

Hi Azsxdcfvgb​,

Since the local copy connects successfully, I would not assume the workbook itself is corrupt or inherently unreadable.

That points more toward the SharePoint access/protection path.

Microsoft’s SharePoint Folder connector documentation states that Power Query authenticates to SharePoint using an Organizational Account and that the user needs Read access to the site, document library, and folder path containing the file.

I would test the same SharePoint file this way:

1. In Power BI Desktop, clear the existing SharePoint permissions under Data source settings.
2. Reconnect using the SharePoint Folder connector and sign in with your Organizational Account.
3. Confirm that the same account can read the file, library, and parent folders in SharePoint.
4. If possible, upload a copy of the same workbook to a different SharePoint library/folder with no special protection and test that copy.

If the copied workbook works from another SharePoint location but the original does not, I would then check the original library/file for sensitivity labels, IRM, retention/protection policies, or library-level settings.

Microsoft’s sensitivity label guidance for SharePoint and OneDrive also notes that encrypted Office files can behave differently depending on how the protection was applied.

So I would not treat the word “decrypt” in the error as proof that the Excel workbook is password-protected. Given that the local copy works, I would first isolate whether SharePoint authentication or file/library protection is what Power Query is failing on.

AI-assisted drafting: AI was used to help structure and phrase this response. I reviewed and validated the technical content before posting.

Hi Azsxdcfvgb​,
Please make an unprotected test copy of the Excel file and refresh it. If that succeeds, the issue is with workbook encryption/sensitivity protection rather than the normal Power BI data-source credentials.
Best Regards,
Maruthi

I see your error is different from the one in the provided thread.  Is your issue more like this thread?
Power BI sends the message "Credentials are required to decrypt this workbook, but none were provide | Microsoft Fabric Community