The term "Netable" applies to parts that may be considered as supply to meet MRP demands.  You cannot have a "Netable" part that is excluded by MRP.  In order to differentiate between inventory with an AVL with the same MPN, but one is RoHS compliant and the other not, we recommend that the user establishes a warehouse with a "noncompliant" location.  Making that location non-nettable will prevent MRP from considering the part as available, but still allow usage of the part in kitting.  In order to do that, we have added the "Allow use of Non-netable Warehouse Locations" feature to the Kit Default Setup screen,  this allows the user to choose whether or not non-nettable material may be used in the kit lists (except for MRB warehouses, which can never be used without disposition). Any parts in the MRB warehouse are deemed questionable until the parts are validated and returned to a normal warehouse.  So they will NOT be considered by MRP. Also keep in mind you cannot ship form a non-netable location.