You have a secured database that contains all of the customer data for your company. You plan to use a project deployment model. You need to create a SQL Server Integration Services (SSIS) package tha

Marking a catalog environment variable as sensitive causes it to be encrypted within the SSISDB catalog, but this does not encrypt the password stored inside the package file itself.

Setting a package parameter's sensitive property to True flags it for encrypted storage in the SSISDB catalog, but without also setting the package protection level the password remains unencrypted within the package definition.

The catalog.set_execution_parameter_value stored procedure sets parameter values - including sensitive credentials - at package execution time within the SSISDB catalog, so the password is supplied dynamically at runtime rather than stored statically in the package definition. This is the standard mechanism for injecting sensitive values into packages deployed under the project deployment model. Combined with encryption of the package itself, it provides a complete end-to-end solution.

Setting the package protection level to EncryptSensitiveWithPassword encrypts all sensitive data, including connection string passwords, using AES encryption with a user-supplied password before the package is saved. This ensures that even if the .dtsx file is accessed directly, the credentials cannot be read without the encryption password. It directly satisfies the requirement that the connection string password must be encrypted.