HCP fails to deploy with TechPreviewNoUpgrade featue set

spec:
  configuration:
    featureGate:
      featureSet: TechPreviewNoUpgrade

$ oc get pod
NAME                                      READY   STATUS             RESTARTS      AGE
capi-provider-bd4858c47-sf5d5             0/2     Init:0/1           0             9m33s
cluster-api-85f69c8484-5n9ql              1/1     Running            0             9m33s
control-plane-operator-78c9478584-xnjmd   2/2     Running            0             9m33s
etcd-0                                    3/3     Running            0             9m10s
kube-apiserver-55bb575754-g4694           4/5     CrashLoopBackOff   6 (81s ago)   8m30s

$ oc logs kube-apiserver-55bb575754-g4694 -c kube-apiserver --tail=5
E0105 16:49:54.411837       1 controller.go:145] while syncing ConfigMap "kube-system/kube-apiserver-legacy-service-account-token-tracking", err: namespaces "kube-system" not found
I0105 16:49:54.415074       1 trace.go:236] Trace[236726897]: "Create" accept:application/vnd.kubernetes.protobuf, */*,audit-id:71496035-d1fe-4ee1-bc12-3b24022ea39c,client:::1,api-group:scheduling.k8s.io,api-version:v1,name:,subresource:,namespace:,protocol:HTTP/2.0,resource:priorityclasses,scope:resource,url:/apis/scheduling.k8s.io/v1/priorityclasses,user-agent:kube-apiserver/v1.29.0 (linux/amd64) kubernetes/9368fcd,verb:POST (05-Jan-2024 16:49:44.413) (total time: 10001ms):
Trace[236726897]: ---"Write to database call failed" len:174,err:priorityclasses.scheduling.k8s.io "system-node-critical" is forbidden: not yet ready to handle request 10001ms (16:49:54.415)
Trace[236726897]: [10.001615835s] [10.001615835s] END
F0105 16:49:54.415382       1 hooks.go:203] PostStartHook "scheduling/bootstrap-system-priority-classes" failed: unable to add default system priority classes: priorityclasses.scheduling.k8s.io "system-node-critical" is forbidden: not yet ready to handle request