Description of the problem / feature request:

It's often useful to use the same extension as both a production and development time dependency. eg.

# In MODULE.bazel
http = use_extension(":extensions.bzl", "http")
dev_http = use_extension(":extensions.bzl", "http", dev_dependency = True)

http.archive(
   name = "prod_dep"
   sha256 = "..."
   urls = [ ... ],
)

dev_http.archive(
  name = "dev_dep",
   sha256 = "..."
   urls = [ ... ],
)

When one tries this, the following error is shown:

ERROR: Traceback (most recent call last):
	File "<root>/MODULE.bazel", line 19, column 26, in <toplevel>
Error in use_extension: this extension is already being used at <root>/MODULE.bazel:10:22

As an aside, this message not include the name of the extension which makes debugging harder.

Bugs: what's the simplest, easiest way to reproduce this bug? Please provide a minimal example if possible.

See above

What's the output of bazel info release?

release 5.0.0