InstanceProvisionFailed @ Machine while trying to create cluster with clusterAPI in k8s

I’m trying to create and manage eks cluster using clusterAPI.
I have applied the yaml file with cluster name c1-eks.
This is the yaml file

apiVersion: cluster.x-k8s.io/v1beta1
kind: Cluster
metadata:
  name: c1-eks
  namespace: default
spec:
  clusterNetwork:
    pods:
      cidrBlocks:
      - 192.168.0.0/16
  controlPlaneRef:
    apiVersion: controlplane.cluster.x-k8s.io/v1beta1
    kind: KubeadmControlPlane
    name: c1-eks-control-plane
  infrastructureRef:
    apiVersion: infrastructure.cluster.x-k8s.io/v1beta1
    kind: AWSCluster
    name: c1-eks
---
apiVersion: infrastructure.cluster.x-k8s.io/v1beta1
kind: AWSCluster
metadata:
  name: c1-eks
  namespace: default
spec:
  region: us-east-1
  sshKeyName: default
---
apiVersion: controlplane.cluster.x-k8s.io/v1beta1
kind: KubeadmControlPlane
metadata:
  name: c1-eks-control-plane
  namespace: default
spec:
  kubeadmConfigSpec:
    clusterConfiguration:
      apiServer:
        extraArgs:
          cloud-provider: aws
      controllerManager:
        extraArgs:
          cloud-provider: aws
    initConfiguration:
      nodeRegistration:
        kubeletExtraArgs:
          cloud-provider: aws
        name: '{{ ds.meta_data.local_hostname }}'
    joinConfiguration:
      nodeRegistration:
        kubeletExtraArgs:
          cloud-provider: aws
        name: '{{ ds.meta_data.local_hostname }}'
  machineTemplate:
    infrastructureRef:
      apiVersion: infrastructure.cluster.x-k8s.io/v1beta1
      kind: AWSMachineTemplate
      name: c1-eks-control-plane
  replicas: 3
  version: v1.23.3
---
apiVersion: infrastructure.cluster.x-k8s.io/v1beta1
kind: AWSMachineTemplate
metadata:
  name: c1-eks-control-plane
  namespace: default
spec:
  template:
    spec:
      iamInstanceProfile: control-plane.cluster-api-provider-aws.sigs.k8s.io
      instanceType: t3.large
      sshKeyName: default
---
apiVersion: cluster.x-k8s.io/v1beta1
kind: MachineDeployment
metadata:
  name: c1-eks-md-0
  namespace: default
spec:
  clusterName: c1-eks
  replicas: 3
  selector:
    matchLabels: null
  template:
    spec:
      bootstrap:
        configRef:
          apiVersion: bootstrap.cluster.x-k8s.io/v1beta1
          kind: KubeadmConfigTemplate
          name: c1-eks-md-0
      clusterName: c1-eks
      infrastructureRef:
        apiVersion: infrastructure.cluster.x-k8s.io/v1beta1
        kind: AWSMachineTemplate
        name: c1-eks-md-0
      version: v1.23.3
---
apiVersion: infrastructure.cluster.x-k8s.io/v1beta1
kind: AWSMachineTemplate
metadata:
  name: c1-eks-md-0
  namespace: default
spec:
  template:
    spec:
      iamInstanceProfile: nodes.cluster-api-provider-aws.sigs.k8s.io
      instanceType: t3.large
      sshKeyName: default
---
apiVersion: bootstrap.cluster.x-k8s.io/v1beta1
kind: KubeadmConfigTemplate
metadata:
  name: c1-eks-md-0
  namespace: default
spec:
  template:
    spec:
      joinConfiguration:
        nodeRegistration:
          kubeletExtraArgs:
            cloud-provider: aws
          name: '{{ ds.meta_data.local_hostname }}'

This is the result of kubectl get cluster

$ kubectl get cluster
NAME     PHASE         AGE   VERSION
c1-eks   Provisioned   34m

When I describe cluster with clusterctl it shows error and says InstanceProvisionFailed

clusterctl describe cluster c1-eks
NAME                                                       READY  SEVERITY  REASON                                                        SINCE  MESSAGE                                                            
/c1-eks                                                    False  Error     InstanceProvisionFailed @ Machine/c1-eks-control-plane-w5rrd  29m    1 of 2 completed                                                   
├─ClusterInfrastructure - AWSCluster/c1-eks                True                                                                           29m                                                                       
├─ControlPlane - KubeadmControlPlane/c1-eks-control-plane  False  Error     InstanceProvisionFailed @ Machine/c1-eks-control-plane-w5rrd  29m    1 of 2 completed                                                   
│ └─Machine/c1-eks-control-plane-w5rrd                     False  Error     InstanceProvisionFailed                                       29m    1 of 2 completed                                                   
└─Workers                                                                                                                                                                                                           
  └─MachineDeployment/c1-eks-md-0                          False  Warning   WaitingForAvailableMachines                                   34m    Minimum availability requires 3 replicas, current 0 available      
    └─3 Machines...                                        False  Info      WaitingForBootstrapData                                       29m    See c1-eks-md-0-66c5f554ff-96qd8, c1-eks-md-0-66c5f554ff-mvnxw, ...

This is the result of kubectl describe Machine/c1-eks-control-plane-w5rrd

$ kubectl describe Machine/c1-eks-control-plane-w5rrd
Name:         c1-eks-control-plane-w5rrd
Namespace:    default
Labels:       cluster.x-k8s.io/cluster-name=c1-eks
              cluster.x-k8s.io/control-plane=
Annotations:  controlplane.cluster.x-k8s.io/kubeadm-cluster-configuration:
                {"etcd":{},"networking":{},"apiServer":{"extraArgs":{"cloud-provider":"aws"}},"controllerManager":{"extraArgs":{"cloud-provider":"aws"}},"...
API Version:  cluster.x-k8s.io/v1beta1
Kind:         Machine
Metadata:
  Creation Timestamp:  2022-02-14T07:59:00Z
  Finalizers:
    machine.cluster.x-k8s.io
  Generation:  2
  Managed Fields:
    API Version:  cluster.x-k8s.io/v1beta1
    Fields Type:  FieldsV1
    fieldsV1:
      f:metadata:
        f:annotations:
          .:
          f:controlplane.cluster.x-k8s.io/kubeadm-cluster-configuration:
        f:finalizers:
          .:
          v:"machine.cluster.x-k8s.io":
        f:labels:
          .:
          f:cluster.x-k8s.io/cluster-name:
          f:cluster.x-k8s.io/control-plane:
        f:ownerReferences:
          .:
          k:{"uid":"1b2843be-184d-405d-88b6-1694a1fff5c4"}:
            .:
            f:apiVersion:
            f:blockOwnerDeletion:
            f:controller:
            f:kind:
            f:name:
            f:uid:
      f:spec:
        .:
        f:bootstrap:
          .:
          f:configRef:
            .:
            f:apiVersion:
            f:kind:
            f:name:
            f:namespace:
            f:uid:
          f:dataSecretName:
        f:clusterName:
        f:failureDomain:
        f:infrastructureRef:
          .:
          f:apiVersion:
          f:kind:
          f:name:
          f:namespace:
          f:uid:
        f:version:
      f:status:
        .:
        f:bootstrapReady:
        f:conditions:
        f:lastUpdated:
        f:observedGeneration:
        f:phase:
    Manager:    manager
    Operation:  Update
    Time:       2022-02-14T07:59:01Z
  Owner References:
    API Version:           controlplane.cluster.x-k8s.io/v1beta1
    Block Owner Deletion:  true
    Controller:            true
    Kind:                  KubeadmControlPlane
    Name:                  c1-eks-control-plane
    UID:                   1b2843be-184d-405d-88b6-1694a1fff5c4
  Resource Version:        31839
  UID:                     76bdc88e-8251-4031-b935-1b8a11b3412c
Spec:
  Bootstrap:
    Config Ref:
      API Version:     bootstrap.cluster.x-k8s.io/v1beta1
      Kind:            KubeadmConfig
      Name:            c1-eks-control-plane-wrjqd
      Namespace:       default
      UID:             272eba72-943d-4ff6-973b-869b92677caf
    Data Secret Name:  c1-eks-control-plane-wrjqd
  Cluster Name:        c1-eks
  Failure Domain:      us-east-1b
  Infrastructure Ref:
    API Version:  infrastructure.cluster.x-k8s.io/v1beta1
    Kind:         AWSMachine
    Name:         c1-eks-control-plane-zvdbx
    Namespace:    default
    UID:          7c4bd14c-5931-4bd9-a1d5-ba4846b02c95
  Version:        v1.23.3
Status:
  Bootstrap Ready:  true
  Conditions:
    Last Transition Time:  2022-02-14T07:59:03Z
    Message:               1 of 2 completed
    Reason:                InstanceProvisionFailed
    Severity:              Error
    Status:                False
    Type:                  Ready
    Last Transition Time:  2022-02-14T07:59:01Z
    Status:                True
    Type:                  BootstrapReady
    Last Transition Time:  2022-02-14T07:59:03Z
    Message:               0 of 3 completed
    Reason:                InstanceProvisionFailed
    Severity:              Error
    Status:                False
    Type:                  InfrastructureReady
    Last Transition Time:  2022-02-14T07:59:01Z
    Reason:                WaitingForNodeRef
    Severity:              Info
    Status:                False
    Type:                  NodeHealthy
  Last Updated:            2022-02-14T07:59:01Z
  Observed Generation:     2
  Phase:                   Provisioning
Events:                    <none>

And kubeadmcontrolplane is also not initialized. This doesn’t let to apply yhe CNI solution in the cluster.

kubectl get kubeadmcontrolplane
NAME                   CLUSTER   INITIALIZED   API SERVER AVAILABLE   REPLICAS   READY   UPDATED   UNAVAILABLE   AGE   VERSION
c1-eks-control-plane   c1-eks                                         1                  1         1             27m   v1.23.3

Please HELP!

I am also experiencing this issue. Any help would be appreciated!