diff --git a/config/observability/README.md b/config/observability/README.md
index 654c3052e..3ea918ce7 100644
--- a/config/observability/README.md
+++ b/config/observability/README.md
@@ -9,6 +9,7 @@ If however you have run `make local-setup` and would like to install the observa
 ```bash
 ./bin/kustomize build ./config/observability/| docker run --rm -i docker.io/ryane/kfilt -i kind=CustomResourceDefinition | kubectl apply --server-side -f -
 ./bin/kustomize build ./config/observability/| docker run --rm -i docker.io/ryane/kfilt -x kind=CustomResourceDefinition | kubectl apply -f -
+./bin/kustomize build ./config/observability/prometheus/monitors/envoy | kubectl apply -f -
 ./bin/kustomize build ./config/thanos | kubectl apply -f -
 ./bin/kustomize build ./examples/dashboards | kubectl apply -f -
 ./bin/kustomize build ./examples/alerts | kubectl apply -f -
diff --git a/config/observability/prometheus/monitors/envoy/kustomization.yaml b/config/observability/prometheus/monitors/envoy/kustomization.yaml
new file mode 100644
index 000000000..1c9869913
--- /dev/null
+++ b/config/observability/prometheus/monitors/envoy/kustomization.yaml
@@ -0,0 +1,4 @@
+resources:
+- pod-monitor-envoy.yaml
+- service-monitor.yaml
+
diff --git a/config/observability/prometheus/monitors/overlays/envoy/pod-monitor-envoy.yaml b/config/observability/prometheus/monitors/envoy/pod-monitor-envoy.yaml
similarity index 89%
rename from config/observability/prometheus/monitors/overlays/envoy/pod-monitor-envoy.yaml
rename to config/observability/prometheus/monitors/envoy/pod-monitor-envoy.yaml
index b489b72e0..128770980 100644
--- a/config/observability/prometheus/monitors/overlays/envoy/pod-monitor-envoy.yaml
+++ b/config/observability/prometheus/monitors/envoy/pod-monitor-envoy.yaml
@@ -2,6 +2,7 @@ apiVersion: monitoring.coreos.com/v1
 kind: PodMonitor
 metadata:
   name: envoy-stats
+  namespace: envoy-gateway-system 
 spec:
   namespaceSelector:
     matchNames:
@@ -12,3 +13,4 @@ spec:
   podMetricsEndpoints:
     - port: http-envoy-prom
       path: /stats/prometheus
+
diff --git a/config/observability/prometheus/monitors/envoy/service-monitor.yaml b/config/observability/prometheus/monitors/envoy/service-monitor.yaml
new file mode 100644
index 000000000..b47b35c96
--- /dev/null
+++ b/config/observability/prometheus/monitors/envoy/service-monitor.yaml
@@ -0,0 +1,15 @@
+apiVersion: monitoring.coreos.com/v1
+kind: ServiceMonitor
+metadata:
+  name: envoy-gateway
+  namespace: envoy-gateway-system
+spec:
+  namespaceSelector:
+    matchNames:
+      - envoy-gateway-system
+  selector:
+    matchLabels:
+      control-plane: envoy-gateway
+  endpoints:
+    - port: metrics
+
diff --git a/config/observability/prometheus/monitors/base/kustomization.yaml b/config/observability/prometheus/monitors/istio/kustomization.yaml
similarity index 95%
rename from config/observability/prometheus/monitors/base/kustomization.yaml
rename to config/observability/prometheus/monitors/istio/kustomization.yaml
index 8d8b6290f..b2f343362 100644
--- a/config/observability/prometheus/monitors/base/kustomization.yaml
+++ b/config/observability/prometheus/monitors/istio/kustomization.yaml
@@ -1,4 +1,4 @@
 resources:  
   - service-monitor-istiod.yaml
   - telemetry.yaml
-  
+
diff --git a/config/observability/prometheus/monitors/base/service-monitor-istiod.yaml b/config/observability/prometheus/monitors/istio/service-monitor-istiod.yaml
similarity index 89%
rename from config/observability/prometheus/monitors/base/service-monitor-istiod.yaml
rename to config/observability/prometheus/monitors/istio/service-monitor-istiod.yaml
index 656cd440b..e2af452b7 100644
--- a/config/observability/prometheus/monitors/base/service-monitor-istiod.yaml
+++ b/config/observability/prometheus/monitors/istio/service-monitor-istiod.yaml
@@ -2,6 +2,7 @@ apiVersion: monitoring.coreos.com/v1
 kind: ServiceMonitor
 metadata:
   name: istiod
+  namespace: istio-system
 spec:
   namespaceSelector:
     matchNames:
@@ -11,3 +12,4 @@ spec:
       app: istiod
   endpoints:
   - port: http-monitoring
+
diff --git a/config/observability/prometheus/monitors/base/telemetry.yaml b/config/observability/prometheus/monitors/istio/telemetry.yaml
similarity index 99%
rename from config/observability/prometheus/monitors/base/telemetry.yaml
rename to config/observability/prometheus/monitors/istio/telemetry.yaml
index ac6796fce..d39050a9a 100644
--- a/config/observability/prometheus/monitors/base/telemetry.yaml
+++ b/config/observability/prometheus/monitors/istio/telemetry.yaml
@@ -26,3 +26,4 @@ spec:
           value: "request.host"
         request_url_path:
           value: "request.url_path"
+
diff --git a/config/observability/prometheus/monitors/overlays/envoy/kustomization.yaml b/config/observability/prometheus/monitors/overlays/envoy/kustomization.yaml
deleted file mode 100644
index 06482aa32..000000000
--- a/config/observability/prometheus/monitors/overlays/envoy/kustomization.yaml
+++ /dev/null
@@ -1,10 +0,0 @@
-resources:
-- ../../base
-- pod-monitor-envoy.yaml
-
-namespace: gateway-system 
-
-patchesStrategicMerge:
-  -  service-monitor.yaml
-
-
diff --git a/config/observability/prometheus/monitors/overlays/envoy/service-monitor.yaml b/config/observability/prometheus/monitors/overlays/envoy/service-monitor.yaml
deleted file mode 100644
index 79403ee22..000000000
--- a/config/observability/prometheus/monitors/overlays/envoy/service-monitor.yaml
+++ /dev/null
@@ -1,9 +0,0 @@
-apiVersion: monitoring.coreos.com/v1
-kind: ServiceMonitor
-metadata:
-  name: istiod
-spec:
-  namespaceSelector:
-    matchNames:
-    - gateway-system
-  
\ No newline at end of file
diff --git a/config/observability/prometheus/monitors/overlays/envoy/telemetry.yaml b/config/observability/prometheus/monitors/overlays/envoy/telemetry.yaml
deleted file mode 100644
index b5aabb906..000000000
--- a/config/observability/prometheus/monitors/overlays/envoy/telemetry.yaml
+++ /dev/null
@@ -1,7 +0,0 @@
-apiVersion: telemetry.istio.io/v1alpha1
-kind: Telemetry
-metadata:
-  name: namespace-metrics
-  namespace: gateway-system
-spec:
-  metrics:
diff --git a/hack/quickstart-setup.sh b/hack/quickstart-setup.sh
index f51851163..b5cb7c969 100755
--- a/hack/quickstart-setup.sh
+++ b/hack/quickstart-setup.sh
@@ -84,7 +84,7 @@ KUADRANT_CERT_MANAGER_KUSTOMIZATION="${KUADRANT_REPO}/config/dependencies/cert-m
 KUADRANT_METALLB_KUSTOMIZATION="${KUADRANT_REPO}/config/metallb?ref=${KUADRANT_REF}"
 KUADARNT_THANOS_KUSTOMIZATION="${KUADRANT_REPO}/config/thanos?ref=${KUADRANT_REF}"
 KUADARNT_OBSERVABILITY_KUSTOMIZATION="${KUADRANT_REPO}/config/observability?ref=${KUADRANT_REF}"
-KUADARNT_OBSERVABILITY_ISTIO_KUSTOMIZATION="${KUADRANT_REPO}/config/observability/promtheus/monitors/base?ref=${KUADRANT_REF}"
+KUADARNT_OBSERVABILITY_ISTIO_KUSTOMIZATION="${KUADRANT_REPO}/config/observability/prometheus/monitors/istio?ref=${KUADRANT_REF}"
 KUADRANT_DASHBOARDS_KUSTOMIZATION="${KUADRANT_REPO}/examples/dashboards?ref=${KUADRANT_REF}"
 KUADRANT_ALERTS_KUSTOMIZATION="${KUADRANT_REPO}/examples/alerts?ref=${KUADRANT_REF}"
 MGC_REPO="github.com/${KUADRANT_ORG}/multicluster-gateway-controller.git"
@@ -461,8 +461,9 @@ fi
 
 # Install observability stack
 info "Installing observability stack in ${KUADRANT_CLUSTER_NAME}..."
-kubectl kustomize ${KUADARNT_OBSERVABILITY_KUSTOMIZATION} | kubectl kustomize ${KUADARNT_OBSERVABILITY_ISTIO_KUSTOMIZATION} | $CONTAINER_RUNTIME_BIN run --rm -i docker.io/ryane/kfilt -i kind=CustomResourceDefinition | kubectl apply --server-side -f -
-kubectl kustomize ${KUADARNT_OBSERVABILITY_KUSTOMIZATION} | kubectl kustomize ${KUADARNT_OBSERVABILITY_ISTIO_KUSTOMIZATION} | $CONTAINER_RUNTIME_BIN run --rm -i docker.io/ryane/kfilt -x kind=CustomResourceDefinition | kubectl apply -f -
+kubectl kustomize ${KUADARNT_OBSERVABILITY_KUSTOMIZATION} | $CONTAINER_RUNTIME_BIN run --rm -i docker.io/ryane/kfilt -i kind=CustomResourceDefinition | kubectl apply --server-side -f -
+kubectl kustomize ${KUADARNT_OBSERVABILITY_KUSTOMIZATION} | $CONTAINER_RUNTIME_BIN run --rm -i docker.io/ryane/kfilt -x kind=CustomResourceDefinition | kubectl apply -f -
+kubectl kustomize ${KUADARNT_OBSERVABILITY_ISTIO_KUSTOMIZATION} |  kubectl apply --server-side -f -
 kubectl kustomize ${KUADRANT_DASHBOARDS_KUSTOMIZATION} | kubectl apply --server-side -f -
 kubectl kustomize ${KUADRANT_ALERTS_KUSTOMIZATION} | kubectl apply --server-side -f -
 success "observability stack installed successfully."