I don't see a way to make a report based off from inactive encryption. I have a few devices that have another encryption solution on but someone accidentally installed McAfee. McAfee won't activate of course, but it also doesn't report in that it's not active. I have to click the system to see that. Am I missing something. I can see devices that are starting to encrypt and partially encrypted but not inactive.
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This an investigation best answered by the MDE team, they will be able to go into greater detail for you than I can here. (its also not a product I support so cannot advise on)
However, I did walk over to the MDE guys and asked them for some input for you.
They suggest and offered:
To review a file on the client named - mfeepe.log
To this they explained to get activation to complete the following needs to be true, else it will 'stall' and not complete:
1) MDE installed on client
2) USER assigned to machine or ALDU option set in policy
3) policy for activation & encryption set in the MDE policy product settings
I'd suggest a post to the MDE forum or better still a call to the MDE support group to have them help in the investigation.
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I think you found it yourself but you can run a query similar to that one: