The server determined that the drive's encryption method was Application Managed Encryption (AME). Since the server is assumed responsibility for encryption settings when device class uses DRIVEENCRYPT=ALLOW and the drive uses AME, encryption has been disabled.
The mount continues with encryption disabled.
If encryption is intended to be used for this operation, with TSM managing the encryption keys, then the DRIVEENCRYPT parameter should be set to ON. If encryption is intended to be used for this operation, without TSM managing the encryption keys (for example, NEC, Fujitsu, and SpectraLogic provide AME encryption solutions without TSM managing encryption), then the DRIVEENCRYPT parameter should be set to EXTERNAL. In either of these situations, data on the volume used in this operation will need to be moved to a new volume with the correct settings to encrypt the data.