diff --git a/crates/cuddle-clusters/src/catalog.rs b/crates/cuddle-clusters/src/catalog.rs
index e6ccdfb..26cb49b 100644
--- a/crates/cuddle-clusters/src/catalog.rs
+++ b/crates/cuddle-clusters/src/catalog.rs
@@ -1 +1,2 @@
+pub mod cluster_vars;
 pub mod cuddle_vars;
diff --git a/crates/cuddle-clusters/src/catalog/cluster_vars.rs b/crates/cuddle-clusters/src/catalog/cluster_vars.rs
new file mode 100644
index 0000000..b19d1ab
--- /dev/null
+++ b/crates/cuddle-clusters/src/catalog/cluster_vars.rs
@@ -0,0 +1,94 @@
+use std::collections::HashMap;
+
+use crate::Component;
+
+#[derive(PartialEq, Eq, Debug, Clone)]
+pub enum ClusterVariable {
+    String(String),
+}
+
+#[derive(PartialEq, Eq, Debug, Clone, Default)]
+pub struct ClusterEnv {
+    vars: HashMap<String, ClusterVariable>,
+}
+
+#[derive(PartialEq, Eq, Debug, Clone, Default)]
+pub struct ClusterVariables {
+    env: ClusterEnv,
+    name: String,
+    namespace: String,
+}
+
+#[derive(Default)]
+pub struct ClusterVars {}
+
+impl Component for ClusterVars {
+    fn name(&self) -> String {
+        "cluster/vars".into()
+    }
+
+    fn validate(&self, _value: &serde_yaml::Value) -> anyhow::Result<()> {
+        Ok(())
+    }
+
+    fn render_value(
+        &self,
+        environment: &str,
+        value: &serde_yaml::Value,
+    ) -> Option<anyhow::Result<minijinja::Value>> {
+        let mut vars = ClusterVariables::default();
+
+        // TODO: actually extract values
+
+        if let Some(mapping) = value.as_mapping() {
+            if let Some(env) = mapping.get("env") {
+                if let Some(env_entries) = env.as_mapping() {
+                    for (name, value) in env_entries {
+                        if let (Some(name), Some(value)) = (name.as_str(), value.as_str()) {
+                            vars.env
+                                .vars
+                                .insert(name.to_string(), ClusterVariable::String(value.into()));
+                        }
+                    }
+                }
+            }
+        }
+
+        vars.name = environment.into();
+        vars.namespace = environment.into();
+
+        Some(Ok(minijinja::Value::from_object(vars)))
+    }
+}
+
+impl minijinja::value::Object for ClusterVariables {
+    fn get_value(self: &std::sync::Arc<Self>, key: &minijinja::Value) -> Option<minijinja::Value> {
+        let out = match key.as_str()? {
+            "env" => minijinja::Value::from_object(self.env.clone()),
+            "name" => minijinja::Value::from_safe_string(self.name.clone()),
+            "namespace" => minijinja::Value::from_safe_string(self.namespace.clone()),
+            _ => return None,
+        };
+
+        Some(out)
+    }
+}
+
+impl minijinja::value::Object for ClusterEnv {
+    fn get_value(self: &std::sync::Arc<Self>, key: &minijinja::Value) -> Option<minijinja::Value> {
+        let var = self.vars.get(key.as_str()?)?;
+
+        match var {
+            ClusterVariable::String(s) => Some(minijinja::Value::from_safe_string(s.clone())),
+        }
+    }
+
+    fn enumerate(self: &std::sync::Arc<Self>) -> minijinja::value::Enumerator {
+        minijinja::value::Enumerator::Values(
+            self.vars
+                .keys()
+                .map(|key| minijinja::Value::from_safe_string(key.clone()))
+                .collect::<Vec<_>>(),
+        )
+    }
+}
diff --git a/crates/cuddle-clusters/src/catalog/cuddle_vars.rs b/crates/cuddle-clusters/src/catalog/cuddle_vars.rs
index 73d89bf..4fbc26d 100644
--- a/crates/cuddle-clusters/src/catalog/cuddle_vars.rs
+++ b/crates/cuddle-clusters/src/catalog/cuddle_vars.rs
@@ -134,7 +134,11 @@ impl Component for CuddleVars {
         Ok(())
     }
 
-    fn render_value(&self, _value: &serde_yaml::Value) -> Option<anyhow::Result<minijinja::Value>> {
+    fn render_value(
+        &self,
+        environment: &str,
+        _value: &serde_yaml::Value,
+    ) -> Option<anyhow::Result<minijinja::Value>> {
         Some(Ok(minijinja::Value::from_object(self.variables.clone())))
     }
 }
diff --git a/crates/cuddle-clusters/src/components.rs b/crates/cuddle-clusters/src/components.rs
index ac30479..5cc5c65 100644
--- a/crates/cuddle-clusters/src/components.rs
+++ b/crates/cuddle-clusters/src/components.rs
@@ -7,12 +7,20 @@ pub trait Component {
         Ok(())
     }
 
-    fn render_value(&self, _value: &serde_yaml::Value) -> Option<anyhow::Result<minijinja::Value>> {
+    fn render_value(
+        &self,
+        environment: &str,
+        _value: &serde_yaml::Value,
+    ) -> Option<anyhow::Result<minijinja::Value>> {
         None
     }
 
     /// First return is name, second is contents
-    fn render(&self, _value: &serde_yaml::Value) -> Option<anyhow::Result<(String, String)>> {
+    fn render(
+        &self,
+        environment: &str,
+        _value: &serde_yaml::Value,
+    ) -> Option<anyhow::Result<(String, String)>> {
         None
     }
 }
diff --git a/crates/cuddle-clusters/src/process.rs b/crates/cuddle-clusters/src/process.rs
index 3f7383b..83f162b 100644
--- a/crates/cuddle-clusters/src/process.rs
+++ b/crates/cuddle-clusters/src/process.rs
@@ -101,7 +101,7 @@ async fn read_cuddle_section(path: &Path) -> anyhow::Result<CuddleClusters> {
     Ok(cuddle_clusters)
 }
 
-#[derive(Debug, Clone)]
+#[derive(Debug, Clone, Default)]
 struct TemplateFiles {
     templates: HashMap<String, PathBuf>,
     raw: HashMap<String, PathBuf>,
@@ -124,27 +124,33 @@ fn load_template_files(path: &Path) -> BoxFuture<'static, anyhow::Result<Templat
     let template_path = path.join(TEMPLATES_PATH_PREFIX);
     let path = path.to_path_buf();
 
-    tracing::info!("reading folder: {}", path.display());
-
     async move {
-        let templates = read_dir(&template_path)
-            .await?
-            .into_iter()
-            .filter(|(_, i)| i.extension().and_then(|e| e.to_str()) == Some("jinja2"))
-            .collect();
-        let raw = read_dir(&template_path.join("raw"))
-            .await
-            .unwrap_or_default();
-        let mut template_files = TemplateFiles { templates, raw };
+        if template_path.exists() {
+            let templates = read_dir(&template_path)
+                .await?
+                .into_iter()
+                .filter(|(_, i)| i.extension().and_then(|e| e.to_str()) == Some("jinja2"))
+                .collect();
+            let raw = read_dir(&template_path.join("raw"))
+                .await
+                .unwrap_or_default();
+            let mut template_files = TemplateFiles { templates, raw };
 
-        let nested_path = path.join(CUDDLE_PLAN_PATH_PREFIX);
-        tracing::info!("trying to read: {}", nested_path.display());
-        if nested_path.exists() {
-            let nested = load_template_files(&nested_path).await?;
-            template_files.merge(nested);
+            let nested_path = path.join(CUDDLE_PLAN_PATH_PREFIX);
+            if nested_path.exists() {
+                let nested = load_template_files(&nested_path).await?;
+                template_files.merge(nested);
+            }
+            Ok(template_files)
+        } else {
+            let nested_path = path.join(CUDDLE_PLAN_PATH_PREFIX);
+            if nested_path.exists() {
+                let nested = load_template_files(&nested_path).await?;
+                Ok(nested)
+            } else {
+                Ok(TemplateFiles::default())
+            }
         }
-
-        Ok(template_files)
     }
     .boxed()
 }
@@ -245,7 +251,7 @@ async fn process_template_file(
     for component in components {
         let name = component.name();
 
-        if let Some(value) = component.render_value(value) {
+        if let Some(value) = component.render_value(environment, value) {
             let value = value?;
 
             variables.insert(name.replace("/", "_"), value);
diff --git a/crates/cuddle-clusters/tests/tests.rs b/crates/cuddle-clusters/tests/tests.rs
index 77c0aa5..12e9101 100644
--- a/crates/cuddle-clusters/tests/tests.rs
+++ b/crates/cuddle-clusters/tests/tests.rs
@@ -3,7 +3,10 @@ pub mod common;
 mod can_run_for_env;
 mod cuddle_vars;
 
-use cuddle_clusters::catalog::cuddle_vars::CuddleVars;
+use cuddle_clusters::{
+    catalog::{cluster_vars::ClusterVars, cuddle_vars::CuddleVars},
+    IntoComponent,
+};
 
 use crate::common::{run_test, run_test_with_components};
 
@@ -60,3 +63,19 @@ async fn with_cuddle_vars() -> anyhow::Result<()> {
 
     Ok(())
 }
+
+#[tokio::test]
+async fn with_actual_deployment() -> anyhow::Result<()> {
+    let current_dir = std::env::current_dir()?.join("tests/with_cuddle_vars");
+
+    run_test_with_components(
+        "with_actual_deployment",
+        vec![
+            CuddleVars::new(&current_dir).await?.into_component(),
+            ClusterVars::default().into_component(),
+        ],
+    )
+    .await?;
+
+    Ok(())
+}
diff --git a/crates/cuddle-clusters/tests/with_actual_deployment/cuddle.yaml b/crates/cuddle-clusters/tests/with_actual_deployment/cuddle.yaml
new file mode 100644
index 0000000..cc48aac
--- /dev/null
+++ b/crates/cuddle-clusters/tests/with_actual_deployment/cuddle.yaml
@@ -0,0 +1,15 @@
+vars:
+  service: service
+  some:
+    nested:
+      item: something
+  array:
+    - item: item
+      
+
+cuddle/clusters:
+  dev:
+    env:
+      something: thing
+      nested.item: item
+      
diff --git a/crates/cuddle-clusters/tests/with_actual_deployment/expected/dev/configmap.yaml b/crates/cuddle-clusters/tests/with_actual_deployment/expected/dev/configmap.yaml
new file mode 100644
index 0000000..60f6ab4
--- /dev/null
+++ b/crates/cuddle-clusters/tests/with_actual_deployment/expected/dev/configmap.yaml
@@ -0,0 +1,8 @@
+apiVersion: v1
+kind: ConfigMap
+metadata:
+  name: service-config
+data:
+  environment:
+    NESTED_ITEM: item
+    SOMETHING: thing
\ No newline at end of file
diff --git a/crates/cuddle-clusters/tests/with_actual_deployment/expected/dev/deployment.yaml b/crates/cuddle-clusters/tests/with_actual_deployment/expected/dev/deployment.yaml
new file mode 100644
index 0000000..3a2643e
--- /dev/null
+++ b/crates/cuddle-clusters/tests/with_actual_deployment/expected/dev/deployment.yaml
@@ -0,0 +1,37 @@
+apiVersion: apps/v1
+kind: Deployment
+metadata:
+  labels:
+    app: service
+    cluster: dev
+  name: service
+  namespace: dev
+spec:
+  replicas: 3
+  selector:
+    matchLabels:
+      app: service
+      cluster: dev
+  template:
+    metadata:
+      labels:
+        app: service
+        cluster: dev
+    spec:
+      containers:
+      - args:
+        - serve
+        command:
+        - service
+        image: kasperhermansen/service:main-1715336504
+        name: service
+        envFrom:
+        - configMapRef:
+            name: service-config
+        ports:
+        - containerPort: 3000
+          name: external-http
+        - containerPort: 3001
+          name: internal-http
+        - containerPort: 3002
+          name: internal-grpc
\ No newline at end of file