diff --git a/cmd/control/docker.go b/cmd/control/engine.go
similarity index 81%
rename from cmd/control/docker.go
rename to cmd/control/engine.go
index c909fd86..3fa22d25 100644
--- a/cmd/control/docker.go
+++ b/cmd/control/engine.go
@@ -2,7 +2,9 @@ package control
 
 import (
 	"fmt"
+	"io/ioutil"
 	"sort"
+	"strings"
 
 	"golang.org/x/net/context"
 
@@ -15,6 +17,10 @@ import (
 	"github.com/rancher/os/util/network"
 )
 
+const (
+	dockerDone = "/run/docker-done"
+)
+
 func engineSubcommands() []cli.Command {
 	return []cli.Command{
 		{
@@ -107,9 +113,27 @@ func engineList(c *cli.Context) error {
 	}
 	sort.Strings(engines)
 
+	currentEngine := currentEngine()
+
 	for _, engine := range engines {
-		fmt.Println(engine)
+		if engine == currentEngine {
+			fmt.Printf("current  %s\n", engine)
+		} else if engine == cfg.Rancher.Docker.Engine {
+			fmt.Printf("enabled  %s\n", engine)
+		} else {
+			fmt.Printf("disabled %s\n", engine)
+		}
 	}
 
 	return nil
 }
+
+func currentEngine() (engine string) {
+	engineBytes, err := ioutil.ReadFile(dockerDone)
+	if err == nil {
+		engine = strings.TrimSpace(string(engineBytes))
+	} else {
+		log.Warnf("Failed to detect current Docker engine: %v", err)
+	}
+	return
+}
diff --git a/cmd/dockerinit/main.go b/cmd/dockerinit/main.go
index dec48017..aad7814a 100644
--- a/cmd/dockerinit/main.go
+++ b/cmd/dockerinit/main.go
@@ -10,12 +10,14 @@ import (
 	"time"
 
 	log "github.com/Sirupsen/logrus"
+	"github.com/rancher/os/config"
 	"github.com/rancher/os/util"
 )
 
 const (
 	consoleDone = "/run/console-done"
 	dockerConf  = "/var/lib/rancher/conf/docker"
+	dockerDone  = "/run/docker-done"
 	dockerLog   = "/var/log/docker.log"
 )
 
@@ -80,6 +82,12 @@ func Main() {
 		args = append(args, os.Getenv("DOCKER_OPTS"))
 	}
 
+	cfg := config.LoadConfig()
+
+	if err := ioutil.WriteFile(dockerDone, []byte(cfg.Rancher.Docker.Engine), 0644); err != nil {
+		log.Error(err)
+	}
+
 	log.Fatal(syscall.Exec("/usr/bin/dockerlaunch", args, os.Environ()))
 }
 
diff --git a/compose/reload.go b/compose/reload.go
index e0c95f4e..8163d4f4 100644
--- a/compose/reload.go
+++ b/compose/reload.go
@@ -68,7 +68,7 @@ func projectReload(p *project.Project, useNetwork *bool, loadConsole bool, envir
 			}
 		}
 
-		if cfg.Rancher.Docker.Engine != "" {
+		if cfg.Rancher.Docker.Engine != "" && cfg.Rancher.Docker.Engine != cfg.Rancher.Defaults.Docker.Engine {
 			p.ServiceConfigs.Add("docker", &composeConfig.ServiceConfig{})
 			if err := LoadService(p, cfg, *useNetwork, cfg.Rancher.Docker.Engine); err != nil && err != network.ErrNoNetwork {
 				log.Error(err)
diff --git a/config/types.go b/config/types.go
index 5c3018bd..4ab073f5 100644
--- a/config/types.go
+++ b/config/types.go
@@ -172,6 +172,7 @@ type CloudInit struct {
 
 type Defaults struct {
 	Hostname string                `yaml:"hostname,omitempty"`
+	Docker   DockerConfig          `yaml:"docker,omitempty"`
 	Network  netconf.NetworkConfig `yaml:"network,omitempty"`
 }
 
diff --git a/os-config.tpl.yml b/os-config.tpl.yml
index 1c589277..8bb4b739 100644
--- a/os-config.tpl.yml
+++ b/os-config.tpl.yml
@@ -4,6 +4,8 @@ rancher:
     SUFFIX: {{.SUFFIX}}
   defaults:
     hostname: {{.HOSTNAME_DEFAULT}}
+    docker:
+      engine: docker-1.11.2
     network:
       dns:
         nameservers: [8.8.8.8, 8.8.4.4]
@@ -382,6 +384,7 @@ rancher:
     url: {{.OS_RELEASES_YML}}/releases{{.SUFFIX}}.yml
     image: {{.OS_REPO}}/os
   docker:
+    engine: docker-1.11.2
     tls_args: [--tlsverify, --tlscacert=/etc/docker/tls/ca.pem, --tlscert=/etc/docker/tls/server-cert.pem, --tlskey=/etc/docker/tls/server-key.pem,
       '-H=0.0.0.0:2376']
     args: [daemon, --log-opt, max-size=25m, --log-opt, max-file=2, -s, overlay, -G, docker, -H, 'unix:///var/run/docker.sock']
diff --git a/tests/custom_docker_test.go b/tests/custom_docker_test.go
index 7fd1cd1d..e4a68c70 100644
--- a/tests/custom_docker_test.go
+++ b/tests/custom_docker_test.go
@@ -10,6 +10,8 @@ func (s *QemuSuite) TestCustomDocker(c *C) {
 set -ex
 
 docker version | grep 1.10.3
+
+sudo ros engine list | grep 1.10.3 | grep current
 docker run -d --restart=always nginx
 docker ps | grep nginx`)
 
@@ -19,6 +21,7 @@ set -ex
 sudo ros engine switch docker-1.11.2
 /usr/sbin/wait-for-docker
 docker version | grep 1.11.2
+sudo ros engine list | grep 1.11.2 | grep current
 docker ps | grep nginx`)
 
 	s.Reboot(c)
@@ -27,6 +30,7 @@ docker ps | grep nginx`)
 set -ex
 
 docker version | grep 1.11.2
+sudo ros engine list | grep 1.11.2 | grep current
 docker ps | grep nginx`)
 }
 
@@ -39,6 +43,7 @@ set -ex
 
 apt-get --version
 docker version | grep 1.10.3
+sudo ros engine list | grep 1.10.3 | grep current
 docker run -d --restart=always nginx
 docker ps | grep nginx`)
 
@@ -48,6 +53,7 @@ set -ex
 sudo ros engine switch docker-1.11.2
 /usr/sbin/wait-for-docker
 docker version | grep 1.11.2
+sudo ros engine list | grep 1.11.2 | grep current
 docker ps | grep nginx`)
 
 	s.Reboot(c)
@@ -56,5 +62,6 @@ docker ps | grep nginx`)
 set -ex
 
 docker version | grep 1.11.2
+sudo ros engine list | grep 1.11.2 | grep current
 docker ps | grep nginx`)
 }