diff --git a/functional-test/src/test/groovy/functional/EncryptedInventorySpec.groovy b/functional-test/src/test/groovy/functional/EncryptedInventorySpec.groovy
new file mode 100644
index 00000000..e7cad1e5
--- /dev/null
+++ b/functional-test/src/test/groovy/functional/EncryptedInventorySpec.groovy
@@ -0,0 +1,31 @@
+package functional
+
+import functional.base.BaseTestConfiguration
+import org.testcontainers.spock.Testcontainers
+
+@Testcontainers
+class EncryptedInventorySpec extends BaseTestConfiguration {
+
+    static String PROJ_NAME = 'ansible-encrypted-inventory'
+
+    def setupSpec() {
+        startCompose()
+        configureRundeck(PROJ_NAME)
+    }
+
+    def "test encrypted inventory"(){
+        when:
+
+        //wait for node to be available
+        def result = client.apiCall {api-> api.listNodes(PROJ_NAME,".*")}
+
+        then:
+        result!=null
+        result.size()==4
+        result.get("ssh-node")!=null
+        result.get("ssh-node-1")!=null
+        result.get("ssh-node-2")!=null
+    }
+
+
+}
diff --git a/functional-test/src/test/groovy/functional/base/BaseTestConfiguration.groovy b/functional-test/src/test/groovy/functional/base/BaseTestConfiguration.groovy
index fd0e2243..47fd531f 100644
--- a/functional-test/src/test/groovy/functional/base/BaseTestConfiguration.groovy
+++ b/functional-test/src/test/groovy/functional/base/BaseTestConfiguration.groovy
@@ -22,6 +22,7 @@ class BaseTestConfiguration extends Specification{
     public static final String NODE_USER_PASSWORD = "testpassword123"
     public static final String NODE_KEY_PASSPHRASE = "testpassphrase123"
     public static final String USER_VAULT_PASSWORD = "vault123"
+    public static final String ENCRYPTED_INVENTORY_VAULT_PASSWORD = "123456"
 
     def startCompose() {
         if(rundeckEnvironment==null){
@@ -106,6 +107,10 @@ class BaseTestConfiguration extends Specification{
         requestBody = RequestBody.create(USER_VAULT_PASSWORD.getBytes(), Client.MEDIA_TYPE_X_RUNDECK_PASSWORD)
         keyResult = client.apiCall {api-> api.createKeyStorage("project/$projectName/vault-user.pass", requestBody)}
 
+        //add encrypted inventory password
+        requestBody = RequestBody.create(ENCRYPTED_INVENTORY_VAULT_PASSWORD.getBytes(), Client.MEDIA_TYPE_X_RUNDECK_PASSWORD)
+        keyResult = client.apiCall {api-> api.createKeyStorage("project/$projectName/vault-inventory.password", requestBody)}
+
         //create project
         def projList = client.apiCall(api -> api.listProjects())
 
diff --git a/functional-test/src/test/groovy/functional/base/RundeckCompose.groovy b/functional-test/src/test/groovy/functional/base/RundeckCompose.groovy
index 3f843b3a..f56fb10c 100644
--- a/functional-test/src/test/groovy/functional/base/RundeckCompose.groovy
+++ b/functional-test/src/test/groovy/functional/base/RundeckCompose.groovy
@@ -32,6 +32,9 @@ class RundeckCompose extends DockerComposeContainer<RundeckCompose> {
             baseUrl rdUrl
             passwordAuth('admin', 'admin')
             logger(new TestLogger())
+            timeout(300)
+            readTimeout(300)
+            connectTimeout(300)
             build()
         }
         return client
diff --git a/functional-test/src/test/resources/docker/ansible/inventory-encrypted.ini b/functional-test/src/test/resources/docker/ansible/inventory-encrypted.ini
new file mode 100644
index 00000000..c62c9413
--- /dev/null
+++ b/functional-test/src/test/resources/docker/ansible/inventory-encrypted.ini
@@ -0,0 +1,21 @@
+$ANSIBLE_VAULT;1.1;AES256
+65366137663536643763393536326631663039653039323434663839323138653866376465653038
+3838363031653534376431396630623437383831636361380a326264346664613237383139343564
+61366565396261306238666230383366653438313234666363303165613235336637626532396431
+3465656235656238650a333137363333636435303934336434656630376637373763383830343566
+31333135653264643163653335643536616632303762396534663033373331613137663363336638
+30613632373765626662616437663162646265326133343865633430633735616663363638383263
+37333562663932386336316135356432346530666537373465653362623961643832353537336664
+39333331613431613735343066336334373964356131613163363630653338643061373961656563
+36343036623231646366313639383237303433376531306131656533633761613231336136643562
+62353330326165386433303064393435316363316236646437643431386436323530653366663238
+33343665313030623165633432393034393664376631393834666638316237633538626637633330
+37663761633234316330333232373365396235623361363262346634643764373834356434666236
+39393131666239346462613337663537643963343764396163353861663966653430323263366631
+64653436366564373130643963353864333763343330663039363465396231303461303937636161
+62613234383437353736343561363839376564326565626431363866653936653962623337363137
+64663738316637313133313463373261353038616461343236393537346235633336373766363563
+37613865303065653963376337643366313966386531616332363038613937653430303133323765
+33336363646332303432343362333638393134626138616664393363326161393639663438313031
+37643334336262396237376230313634383933643832333038373964373465306261323331343537
+37333530313466393933
\ No newline at end of file
diff --git a/functional-test/src/test/resources/project-import/ansible-encrypted-inventory/rundeck-ansible-encrypted-inventory/files/acls/node-acl.aclpolicy b/functional-test/src/test/resources/project-import/ansible-encrypted-inventory/rundeck-ansible-encrypted-inventory/files/acls/node-acl.aclpolicy
new file mode 100644
index 00000000..d50b4880
--- /dev/null
+++ b/functional-test/src/test/resources/project-import/ansible-encrypted-inventory/rundeck-ansible-encrypted-inventory/files/acls/node-acl.aclpolicy
@@ -0,0 +1,8 @@
+by:
+  urn: project:ansible-encrypted-inventory
+for:
+  storage:
+    - match: 
+        path: 'keys/.*'
+      allow: [read] 
+description: Allow access to key storage
\ No newline at end of file
diff --git a/functional-test/src/test/resources/project-import/ansible-encrypted-inventory/rundeck-ansible-encrypted-inventory/files/etc/project.properties b/functional-test/src/test/resources/project-import/ansible-encrypted-inventory/rundeck-ansible-encrypted-inventory/files/etc/project.properties
new file mode 100644
index 00000000..ba35f2c2
--- /dev/null
+++ b/functional-test/src/test/resources/project-import/ansible-encrypted-inventory/rundeck-ansible-encrypted-inventory/files/etc/project.properties
@@ -0,0 +1,30 @@
+#Exported configuration
+project.description=
+project.disable.executions=false
+project.disable.schedule=false
+project.execution.history.cleanup.batch=500
+project.execution.history.cleanup.enabled=false
+project.execution.history.cleanup.retention.days=60
+project.execution.history.cleanup.retention.minimum=50
+project.execution.history.cleanup.schedule=0 0 0 1/1 * ? *
+project.jobs.gui.groupExpandLevel=1
+project.label=
+project.later.executions.disable=false
+project.later.executions.enable=false
+project.later.schedule.disable=false
+project.later.schedule.enable=false
+project.name=encrypted-inventory-test
+project.nodeCache.enabled=true
+project.nodeCache.firstLoadSynch=true
+project.output.allowUnsanitized=false
+project.retry-counter=3
+project.ssh-authentication=privateKey
+resources.source.1.type=local
+resources.source.2.config.ansible-config-file-path=/home/rundeck/ansible
+resources.source.2.config.ansible-inventory=/home/rundeck/ansible/inventory-encrypted.ini
+resources.source.2.config.ansible-gather-facts=true
+resources.source.2.config.ansible-ignore-errors=true
+resources.source.2.config.ansible-vault-storage-path=keys/project/ansible-encrypted-inventory/vault-inventory.password
+resources.source.2.type=com.batix.rundeck.plugins.AnsibleResourceModelSourceFactory
+service.FileCopier.default.provider=sshj-scp
+service.NodeExecutor.default.provider=sshj-ssh
\ No newline at end of file
diff --git a/src/main/groovy/com/rundeck/plugins/ansible/plugin/AnsibleResourceModelSource.java b/src/main/groovy/com/rundeck/plugins/ansible/plugin/AnsibleResourceModelSource.java
index c924f280..553d58cf 100644
--- a/src/main/groovy/com/rundeck/plugins/ansible/plugin/AnsibleResourceModelSource.java
+++ b/src/main/groovy/com/rundeck/plugins/ansible/plugin/AnsibleResourceModelSource.java
@@ -190,7 +190,6 @@ public void configure(Properties configuration) throws ConfigurationException {
 
     sshAgent = (String) resolveProperty(AnsibleDescribable.ANSIBLE_SSH_USE_AGENT,null,configuration,executionDataContext);
     sshPassphraseStoragePath = (String) resolveProperty(AnsibleDescribable.ANSIBLE_SSH_PASSPHRASE,null,configuration,executionDataContext);
-    vaultPasswordPath = (String) resolveProperty(AnsibleDescribable.ANSIBLE_BECOME_PASSWORD_STORAGE_PATH,null,configuration,executionDataContext);
 
     becamePasswordStoragePath = (String) resolveProperty(AnsibleDescribable.ANSIBLE_BECOME_PASSWORD_STORAGE_PATH,null,configuration,executionDataContext);