diff --git a/cmd/aws-lambda-rie/main.go b/cmd/aws-lambda-rie/main.go
index bd15402..3653439 100644
--- a/cmd/aws-lambda-rie/main.go
+++ b/cmd/aws-lambda-rie/main.go
@@ -27,7 +27,7 @@ type options struct {
 	InitCachingEnabled bool   `long:"enable-init-caching" description:"Enable support for Init Caching"`
 	// Do not have a default value so we do not need to keep it in sync with the default value in lambda/rapidcore/sandbox_builder.go
 	RuntimeAPIAddress               string `long:"runtime-api-address" description:"The address of the AWS Lambda Runtime API to communicate with the Lambda execution environment."`
-	RuntimeInterfaceEmulatorAddress string `long:"runtime-interface-emulator-address" default:"0.0.0.0:8080" description:"The address for the AWS Lambda Runtime Interface Emulator to accept HTTP request upon."`
+	RuntimeInterfaceEmulatorAddress string `long:"runtime-interface-emulator-address" default:"0.0.0.0:8080" description:"The address for the AWS Lambda Runtime Interface Emulator to accept HTTP request upon. Can also be set by the environment variable 'RUNTIME_INTERFACE_EMULATOR_ADDRESS'."`
 }
 
 func main() {
@@ -49,6 +49,14 @@ func main() {
 
 	rapidcore.SetLogLevel(logLevel)
 
+	// Handle RuntimeInterfaceEmulatorAddress environment variable
+	// If CLI flag not provided, check environment variable
+	if opts.RuntimeInterfaceEmulatorAddress == "0.0.0.0:8080" {
+		if envAddress, envAddressSet := os.LookupEnv("RUNTIME_INTERFACE_EMULATOR_ADDRESS"); envAddressSet {
+			opts.RuntimeInterfaceEmulatorAddress = envAddress
+		}
+	}
+
 	if opts.RuntimeAPIAddress != "" {
 		_, _, err := net.SplitHostPort(opts.RuntimeAPIAddress)
 
diff --git a/test/integration/local_lambda/test_end_to_end.py b/test/integration/local_lambda/test_end_to_end.py
index d564bb1..24d71a5 100644
--- a/test/integration/local_lambda/test_end_to_end.py
+++ b/test/integration/local_lambda/test_end_to_end.py
@@ -235,6 +235,30 @@ def test_port_override(self):
             self.assertEqual(b'"My lambda ran succesfully"', r.content)
 
 
+    def test_runtime_interface_emulator_address_env_var(self):
+        image, rie, image_name = self.tagged_name("rie_address_env_var")
+
+        # Use port 8081 inside the container and set via environment variable instead of CLI flag
+        params = f"--name {image} -d -v {self.path_to_binary}:/local-lambda-runtime-server -p {self.PORT}:8081 -e RUNTIME_INTERFACE_EMULATOR_ADDRESS=0.0.0.0:8081 --entrypoint /local-lambda-runtime-server/{rie} {image_name} {DEFAULT_1P_ENTRYPOINT} main.success_handler"
+
+        with self.create_container(params, image):
+            r = self.invoke_function()
+        
+            self.assertEqual(b'"My lambda ran succesfully"', r.content)
+
+
+    def test_runtime_interface_emulator_address_cli_precedence(self):
+        image, rie, image_name = self.tagged_name("rie_address_cli_precedence")
+
+        # Set environment variable but override with CLI flag - CLI should take precedence  
+        params = f"--name {image} -d -v {self.path_to_binary}:/local-lambda-runtime-server -p {self.PORT}:8082 -e RUNTIME_INTERFACE_EMULATOR_ADDRESS=0.0.0.0:8080 --entrypoint /local-lambda-runtime-server/{rie} {image_name} {DEFAULT_1P_ENTRYPOINT} main.success_handler --runtime-interface-emulator-address 0.0.0.0:8082"
+
+        with self.create_container(params, image):
+            r = self.invoke_function()
+        
+            self.assertEqual(b'"My lambda ran succesfully"', r.content)
+
+
     def test_custom_client_context(self):
         image, rie, image_name = self.tagged_name("custom_client_context")