diff --git a/upup/models/cloudup/resources/addons/aws-cloud-controller.addons.k8s.io/k8s-1.18.yaml.template b/upup/models/cloudup/resources/addons/aws-cloud-controller.addons.k8s.io/k8s-1.18.yaml.template
index 7cbe9d5fdb..5b3ca302d2 100644
--- a/upup/models/cloudup/resources/addons/aws-cloud-controller.addons.k8s.io/k8s-1.18.yaml.template
+++ b/upup/models/cloudup/resources/addons/aws-cloud-controller.addons.k8s.io/k8s-1.18.yaml.template
@@ -27,16 +27,19 @@ spec:
         effect: NoSchedule
       serviceAccountName: aws-cloud-controller-manager
       containers:
-        - name: aws-cloud-controller-manager
-          image: {{ if .ExternalCloudControllerManager.Image }}{{ .ExternalCloudControllerManager.Image }}{{ else }}gcr.io/k8s-staging-provider-aws/cloud-controller-manager:{{AWSCCMTag}}{{ end }}
-          imagePullPolicy: IfNotPresent
-          args:
+      - name: aws-cloud-controller-manager
+        image: {{ if .ExternalCloudControllerManager.Image }}{{ .ExternalCloudControllerManager.Image }}{{ else }}gcr.io/k8s-staging-provider-aws/cloud-controller-manager:{{AWSCCMTag}}{{ end }}
+        imagePullPolicy: IfNotPresent
+        args:
 {{- range $arg := CloudControllerConfigArgv }}
-            - {{ $arg }}
+          - {{ $arg }}
 {{- end }}
-          resources:
-            requests:
-              cpu: 200m
+        env:
+        - name: KUBERNETES_SERVICE_HOST
+          value: "127.0.0.1"
+        resources:
+          requests:
+            cpu: 200m
       hostNetwork: true
       priorityClassName: system-cluster-critical
 ---
diff --git a/upup/pkg/fi/cloudup/tests/bootstrapchannelbuilder/awscloudcontroller/aws-cloud-controller.addons.k8s.io-k8s-1.18.yaml b/upup/pkg/fi/cloudup/tests/bootstrapchannelbuilder/awscloudcontroller/aws-cloud-controller.addons.k8s.io-k8s-1.18.yaml
index 4057023b29..b9eb7c366f 100644
--- a/upup/pkg/fi/cloudup/tests/bootstrapchannelbuilder/awscloudcontroller/aws-cloud-controller.addons.k8s.io-k8s-1.18.yaml
+++ b/upup/pkg/fi/cloudup/tests/bootstrapchannelbuilder/awscloudcontroller/aws-cloud-controller.addons.k8s.io-k8s-1.18.yaml
@@ -27,6 +27,9 @@ spec:
         - --allocate-node-cidrs=true
         - --configure-cloud-routes=false
         - --use-service-account-credentials=true
+        env:
+        - name: KUBERNETES_SERVICE_HOST
+          value: 127.0.0.1
         image: gcr.io/k8s-staging-provider-aws/cloud-controller-manager:latest
         imagePullPolicy: IfNotPresent
         name: aws-cloud-controller-manager
diff --git a/upup/pkg/fi/cloudup/tests/bootstrapchannelbuilder/awscloudcontroller/manifest.yaml b/upup/pkg/fi/cloudup/tests/bootstrapchannelbuilder/awscloudcontroller/manifest.yaml
index 980a6b9944..765d668f56 100644
--- a/upup/pkg/fi/cloudup/tests/bootstrapchannelbuilder/awscloudcontroller/manifest.yaml
+++ b/upup/pkg/fi/cloudup/tests/bootstrapchannelbuilder/awscloudcontroller/manifest.yaml
@@ -47,7 +47,7 @@ spec:
       k8s-addon: storage-aws.addons.k8s.io
   - id: k8s-1.18
     manifest: aws-cloud-controller.addons.k8s.io/k8s-1.18.yaml
-    manifestHash: 9ca4820e2d12cabdb9b2d32c2f8f9b00e3e75a7f
+    manifestHash: ef74ee3b557b92e6e6944329c81e4f1925e2f3df
     name: aws-cloud-controller.addons.k8s.io
     selector:
       k8s-addon: aws-cloud-controller.addons.k8s.io