diff --git a/roles/network_plugin/flannel/templates/flannel-options.conf.j2 b/roles/network_plugin/flannel/templates/flannel-options.conf.j2
index 62dcb1e41..e7758736c 100644
--- a/roles/network_plugin/flannel/templates/flannel-options.conf.j2
+++ b/roles/network_plugin/flannel/templates/flannel-options.conf.j2
@@ -1,2 +1,6 @@
 [Service]
+{% if ansible_os_family == "CoreOS" %}
+Environment="DOCKER_OPT_BIP=--bip={{ flannel_subnet }} --mtu={{ flannel_mtu }}"
+{% else %}
 Environment="DOCKER_NETWORK_OPTIONS=--bip={{ flannel_subnet }} --mtu={{ flannel_mtu }}"
+{% endif %}