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Agree with above comment. We also would like to utilize this feature to setup automated HMC & SE backup to a SFTP server without having to provide and manage user credentials.
In General, private key authentication for sftp connections should be possible. Also for actions like HMC Backups or export OSA Advanced Facility configuration, user/password authentication for sftp is the only possibility to authenticate against the sftp server. For us, only private key authentication is allowed. (unencrypted) FTP is also not permitted. The alternative is to still store backups on a USB drive.