Azure Linux Diagnostic Extension: Does not install on Ubuntu 20.04

Creating Ubuntu 20.04 VM with Linux Diagnostic has error/conflict.

When it will be supported? fixed?

> Deployment to resource group 'xxx' failed.
> Additional details from the underlying API that might be helpful: At least one resource deployment operation failed. Please list deployment operations for details. Please see https://aka.ms/DeployOperations for usage details.

> {
> "status": "Failed",
> "error": {
> "code": "VMExtensionHandlerNonTransientError",
> "message": "The handler for VM extension type 'Microsoft.Azure.Diagnostics.LinuxDiagnostic' has reported terminal failure for VM extension 'LinuxDiagnostic' with error message: '[ExtensionOperationError] Non-zero exit code: 127, /var/lib/waagent/Microsoft.Azure.Diagnostics.LinuxDiagnostic-3.0.131/diagnostic.py -install\n[stdout]\n\n\n[stderr]\nRunning scope as unit: Microsoft.Azure.Diagnostics.LinuxDiagnostic_3.0.131_43b85973-8302-407d-b1a0-7515fedf3eaa.scope\n/usr/bin/env: ‘python’: No such file or directory\n'.\r\n \r\n'Install handler failed for the extension. More information on troubleshooting is available at https://aka.ms/VMExtensionLinuxDiagnosticsTroubleshoot'"
> }
> }

Start by inspecting the diagnostic.py -install entry point identified in the deployment error and reproduce the Linux Diagnostic installation on Ubuntu 20.04. Trace the missing Python executable failure and verify that a successful deployment no longer reports the VMExtensionHandlerNonTransientError.

Written by the indexing model from the issue text.