diff --git a/deploy/docker/entrypoint.sh b/deploy/docker/entrypoint.sh
index b8a2b577e4..5031e9942d 100755
--- a/deploy/docker/entrypoint.sh
+++ b/deploy/docker/entrypoint.sh
@@ -31,24 +31,24 @@ init_env_file() {
     # Generate new docker.env file when initializing container for first time or in Heroku which does not have persistent volume
     echo "Generating default configuration file"
     mkdir -p "$CONF_PATH"
-    APPSMITH_MONGODB_USER="appsmith"
-    APPSMITH_MONGODB_PASSWORD=$(
+    local default_appsmith_mongodb_user="appsmith"
+    local generated_appsmith_mongodb_password=$(
       tr -dc A-Za-z0-9 </dev/urandom | head -c 13
       echo ""
     )
-    APPSMITH_ENCRYPTION_PASSWORD=$(
+    local generated_appsmith_encryption_password=$(
       tr -dc A-Za-z0-9 </dev/urandom | head -c 13
       echo ""
     )
-    APPSMITH_ENCRYPTION_SALT=$(
+    local generated_appsmith_encription_salt=$(
       tr -dc A-Za-z0-9 </dev/urandom | head -c 13
       echo ""
     )
-    APPSMITH_AUTH_PASSWORD=$(
+    local generated_appsmith_supervisor_password=$(
       tr -dc A-Za-z0-9 </dev/urandom | head -c 13
       echo ''
     )
-    bash "$TEMPLATES_PATH/docker.env.sh" "$APPSMITH_MONGODB_USER" "$APPSMITH_MONGODB_PASSWORD" "$APPSMITH_ENCRYPTION_PASSWORD" "$APPSMITH_ENCRYPTION_SALT" "$APPSMITH_AUTH_PASSWORD" > "$ENV_PATH"
+    bash "$TEMPLATES_PATH/docker.env.sh" "$default_appsmith_mongodb_user" "$generated_appsmith_mongodb_password" "$generated_appsmith_encryption_password" "$generated_appsmith_encription_salt" "$generated_appsmith_supervisor_password" > "$ENV_PATH"
   fi
 
 
diff --git a/deploy/docker/templates/docker.env.sh b/deploy/docker/templates/docker.env.sh
index f13da88efd..f1348048df 100644
--- a/deploy/docker/templates/docker.env.sh
+++ b/deploy/docker/templates/docker.env.sh
@@ -5,7 +5,7 @@ MONGO_USER="$1"
 MONGO_PASSWORD="$2"
 ENCRYPTION_PASSWORD="$3"
 ENCRYPTION_SALT="$4"
-BASIC_AUTH_PASSWORD="$5"
+SUPERVISOR_PASSWORD="$5"
 
 cat <<EOF
 # Sentry
@@ -90,5 +90,5 @@ APPSMITH_JAVA_ARGS=
 # APPSMITH_CODEC_SIZE=
 
 APPSMITH_SUPERVISOR_USER=appsmith
-APPSMITH_SUPERVISOR_PASSWORD=$BASIC_AUTH_PASSWORD
+APPSMITH_SUPERVISOR_PASSWORD=$SUPERVISOR_PASSWORD
 EOF