In this work, different annealing ambient (nitrogen-oxygen-nitrogen (N2-O2-N2), forming gas-oxygen-forming gas (FG-O2-FG), and argon-oxygen-argon (Ar-O2-Ar)) were explored to investigate the feasibility of employing the annealed ternary GaxCeyOz passivation layer (PL) for development of Si-based metal-oxide-semiconductor (MOS) capacitors. The impact of nitrogen and/or hydrogen in hindering the growth of silicon dioxide (SiO2) interfacial layer (IL) was quantitatively evaluated. The combination of effects brought by nitrogen attached to oxygen vacancies, nitrogen-silicon bonding, and nitrogen accumulation at the GaxCeyOz/Si interface effectively minimized the formation of SiO2 IL. Consequently, among all the samples, the GaxCeyOz PL annealed in N2-O2-N2 ambient exhibited superior MOS characteristics in terms of low effective oxide charge, slow trap density, interface trap density, and interface state density, which have translated into good leakage current density-electric field characteristics.