Nav service account permissions

Hello,

I'm setting up NAV 2009R2 3-Tier installation. I ran into problems when starting up Nav service on NAV Server. The nav service account is domain wide account and it has been granted log on as a service permission.
I can go around the problem if I elevate the nav service acoount to local administrators group to the NAV Server computer. Clearly that's not the solution I want.

So, here is the error message from application log:
Log Name: Application
Source: MicrosoftDynamicsNAVServer
Date: 20.5.2011 15:37:15
Event ID: 0
Task Category: None
Level: Error
Keywords: Classic
User: N/A
Computer: navserver.domain.local
Description:
Service:
The service MicrosoftDynamicsNavServer failed to start. This could be caused by a configuration error. Detailed error information:System.ServiceModel.CommunicationException: The service endpoint failed to listen on the URI 'net.[url=tcp://navserver.domain.local:7046/MicrosoftDynamicsNAV/Service']tcp://navserver.domain.local:7046/Micro ... V/Service'[/url] because access was denied. Verify that the current user is granted access in the appropriate allowedAccounts section of SMSvcHost.exe.config. ---> System.ComponentModel.Win32Exception: Access is denied
at System.ServiceModel.Activation.SharedMemory.Read(String name, String& content)
at System.ServiceModel.Channels.SharedConnectionListener.SharedListenerProxy.ReadEndpoint(String sharedMemoryName, String& listenerEndpoint)
--- End of inner exception stack trace ---
at System.ServiceModel.Channels.SharedConnectionListener.SharedListenerProxy.ReadEndpoint(String sharedMemoryName, String& listenerEndpoint)
at System.ServiceModel.Channels.SharedConnectionListener.SharedListenerProxy.HandleServiceStart(Boolean isReconnecting)
at System.ServiceModel.Channels.SharedConnectionListener.SharedListenerProxy.Open(Boolean isReconnecting)
at System.ServiceModel.Channels.SharedConnectionListener.StartListen(Boolean isReconnecting)
at System.ServiceModel.Channels.SharedConnectionListener..ctor(BaseUriWithWildcard baseAddress, Int32 queueId, Guid token, OnDuplicatedViaDelegate onDuplicatedViaCallback)
at System.ServiceModel.Channels.SharedTcpTransportManager.OnOpenInternal(Int32 queueId, Guid token)
at System.ServiceModel.Channels.SharedTcpTransportManager.OnOpen()
at System.ServiceModel.Channels.TransportManager.Open(TransportChannelListener channelListener)
at System.ServiceModel.Channels.TransportManagerContainer.Open(SelectTransportManagersCallback selectTransportManagerCallback)
at System.ServiceModel.Channels.TransportChannelListener.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.ConnectionOrientedTransportChannelListener.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.TcpChannelListener`2.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout)
at System.ServiceModel.Channels.ReliableChannelListenerBase`1.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout)
at Microsoft.Dynamics.Nav.Types.Channels.ChunkingChannelListener.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout)
at System.ServiceModel.Dispatcher.ChannelDispatcher.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout)
at System.ServiceModel.ServiceHostBase.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open()
at Microsoft.Dynamics.Nav.WindowsServices.NavServiceBase.OnStart(String[] args).
Event Xml:
<Event xmlns="http://schemas.microsoft.com/win/2004/08/events/event"&gt;
<System>
<Provider Name="MicrosoftDynamicsNAVServer" />
<EventID Qualifiers="0">0</EventID>
<Level>2</Level>
<Task>0</Task>
<Keywords>0x80000000000000</Keywords>
<TimeCreated SystemTime="2011-05-20T12:37:15.000000000Z" />
<EventRecordID>523</EventRecordID>
<Channel>Application</Channel>
<Computer>navserver.domain.local</Computer>
<Security />
</System>
<EventData>
<Data>Service:
The service MicrosoftDynamicsNavServer failed to start. This could be caused by a configuration error. Detailed error information:System.ServiceModel.CommunicationException: The service endpoint failed to listen on the URI 'net.[url=tcp://navserver.domain.local:7046/MicrosoftDynamicsNAV/Service']tcp://navserver.domain.local:7046/Micro ... V/Service'[/url] because access was denied. Verify that the current user is granted access in the appropriate allowedAccounts section of SMSvcHost.exe.config. ---> System.ComponentModel.Win32Exception: Access is denied
at System.ServiceModel.Activation.SharedMemory.Read(String name, String& content)
at System.ServiceModel.Channels.SharedConnectionListener.SharedListenerProxy.ReadEndpoint(String sharedMemoryName, String& listenerEndpoint)
--- End of inner exception stack trace ---
at System.ServiceModel.Channels.SharedConnectionListener.SharedListenerProxy.ReadEndpoint(String sharedMemoryName, String& listenerEndpoint)
at System.ServiceModel.Channels.SharedConnectionListener.SharedListenerProxy.HandleServiceStart(Boolean isReconnecting)
at System.ServiceModel.Channels.SharedConnectionListener.SharedListenerProxy.Open(Boolean isReconnecting)
at System.ServiceModel.Channels.SharedConnectionListener.StartListen(Boolean isReconnecting)
at System.ServiceModel.Channels.SharedConnectionListener..ctor(BaseUriWithWildcard baseAddress, Int32 queueId, Guid token, OnDuplicatedViaDelegate onDuplicatedViaCallback)
at System.ServiceModel.Channels.SharedTcpTransportManager.OnOpenInternal(Int32 queueId, Guid token)
at System.ServiceModel.Channels.SharedTcpTransportManager.OnOpen()
at System.ServiceModel.Channels.TransportManager.Open(TransportChannelListener channelListener)
at System.ServiceModel.Channels.TransportManagerContainer.Open(SelectTransportManagersCallback selectTransportManagerCallback)
at System.ServiceModel.Channels.TransportChannelListener.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.ConnectionOrientedTransportChannelListener.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.TcpChannelListener`2.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout)
at System.ServiceModel.Channels.ReliableChannelListenerBase`1.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout)
at Microsoft.Dynamics.Nav.Types.Channels.ChunkingChannelListener.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout)
at System.ServiceModel.Dispatcher.ChannelDispatcher.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout)
at System.ServiceModel.ServiceHostBase.OnOpen(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open(TimeSpan timeout)
at System.ServiceModel.Channels.CommunicationObject.Open()
at Microsoft.Dynamics.Nav.WindowsServices.NavServiceBase.OnStart(String[] args).</Data>
</EventData>
</Event>

What I've already done is that I've granted access to the appropriate allowedAccounts section of SMSvcHost.exe.config.