diff --git a/internal/common/flagdproxy/flagdproxy.go b/internal/common/flagdproxy/flagdproxy.go
index b9b0e02bb..d0a44f03f 100644
--- a/internal/common/flagdproxy/flagdproxy.go
+++ b/internal/common/flagdproxy/flagdproxy.go
@@ -62,7 +62,7 @@ func NewFlagdProxyConfiguration(env types.EnvConfig, imagePullSecrets []string,
 		ImagePullSecrets:       imagePullSecrets,
 		Labels:                 labels,
 		Annotations:            annotations,
-		ClusterDomain:          env.ClusterDomain,
+		ClusterDomain:          env.FlagdClusterDomain,
 	}
 }
 
diff --git a/internal/common/flagdproxy/flagdproxy_test.go b/internal/common/flagdproxy/flagdproxy_test.go
index c318e6987..af92edd61 100644
--- a/internal/common/flagdproxy/flagdproxy_test.go
+++ b/internal/common/flagdproxy/flagdproxy_test.go
@@ -205,7 +205,7 @@ func TestNewFlagdProxyConfiguration(t *testing.T) {
 		FlagdProxyPort:           8015,
 		FlagdProxyManagementPort: 8016,
 		FlagdProxyReplicaCount:   123,
-		ClusterDomain:            "cluster.local",
+		FlagdClusterDomain:       "cluster.local",
 	}, pullSecrets, labels, annotations)
 
 	require.NotNil(t, kpConfig)
diff --git a/internal/common/types/envconfig.go b/internal/common/types/envconfig.go
index 9c2720241..c3593bcc2 100644
--- a/internal/common/types/envconfig.go
+++ b/internal/common/types/envconfig.go
@@ -10,7 +10,7 @@ type EnvConfig struct {
 	FlagdProxyPort           int    `envconfig:"FLAGD_PROXY_PORT" default:"8015"`
 	FlagdProxyManagementPort int    `envconfig:"FLAGD_PROXY_MANAGEMENT_PORT" default:"8016"`
 	FlagdProxyDebugLogging   bool   `envconfig:"FLAGD_PROXY_DEBUG_LOGGING" default:"false"`
-	ClusterDomain            string `envconfig:"CLUSTER_DOMAIN" default:"cluster.local"`
+	FlagdClusterDomain       string `envconfig:"FLAGD_CLUSTER_DOMAIN" default:"cluster.local"`
 
 	FlagdImage string `envconfig:"FLAGD_IMAGE" default:"ghcr.io/open-feature/flagd"`
 	// renovate: datasource=github-tags depName=open-feature/flagd/flagd