API Function Host cannot start when specifying Azure Event Grid output binding

Whenever I specify an Event Grid output binding, the API cannot start when deployed in Azure.
Running the same function locally works fine.

Example of binding
```
{
"type": "eventGrid",
"name": "eventGridEventOut",
"topicEndpointUri": "EvenGridTopicEndpointUri",
"topicKeySetting": "EventGridTopicKey",
"direction": "out"
}
```
When such a binding is used, a call to the API results in **Function host is not running** HTTP 503 response.

Application Insights logs :
_Secret initialization from Blob storage failed due to missing both an Azure Storage connection string and a SAS connection uri. For Blob Storage, please provide at least one of these. If you intend to use files for secrets, add an App Setting key 'AzureWebJobsSecretStorageType' with value 'Files'._

Note that I don't have any Azure blob storage binding and that the relevant App Settings key/value pairs are present.

Language environment is NodeJS and deployment is on US West 2 region.