diff --git a/extensions/arc/src/models/postgresModel.ts b/extensions/arc/src/models/postgresModel.ts
index 7dbb13c63b..8c6973dd11 100644
--- a/extensions/arc/src/models/postgresModel.ts
+++ b/extensions/arc/src/models/postgresModel.ts
@@ -53,7 +53,10 @@ export class PostgresModel extends ResourceModel {
 
 	/** Returns the major version of Postgres */
 	public get engineVersion(): string | undefined {
-		return this._config?.spec.engine.version;
+		const kind = this._config?.kind;
+		return kind
+			? kind.substring(kind.lastIndexOf('-') + 1)
+			: undefined;
 	}
 
 	/** Returns the IP address and port of Postgres */
diff --git a/extensions/arc/src/test/mocks/fakeAzdataApi.ts b/extensions/arc/src/test/mocks/fakeAzdataApi.ts
index f3f78e630a..e9c6a95aee 100644
--- a/extensions/arc/src/test/mocks/fakeAzdataApi.ts
+++ b/extensions/arc/src/test/mocks/fakeAzdataApi.ts
@@ -49,6 +49,7 @@ export class FakeAzdataApi implements azdataExt.IAzdataApi {
 							replaceEngineSettings?: boolean,
 							workers?: number
 						},
+						_engineVersion?: string,
 						_additionalEnvVars?: azdataExt.AdditionalEnvVars
 					): Promise<azdataExt.AzdataOutput<void>> { throw new Error('Method not implemented.'); }
 				}
diff --git a/extensions/arc/src/test/models/postgresModel.test.ts b/extensions/arc/src/test/models/postgresModel.test.ts
index 76adefcda8..2445026a1e 100644
--- a/extensions/arc/src/test/models/postgresModel.test.ts
+++ b/extensions/arc/src/test/models/postgresModel.test.ts
@@ -41,8 +41,7 @@ export const FakePostgresServerShowOutput: azdataExt.AzdataOutput<azdataExt.Post
 				extensions: [{ name: '' }],
 				settings: {
 					default: { ['']: '' }
-				},
-				version: ''
+				}
 			},
 			scale: {
 				shards: 0,
diff --git a/extensions/arc/src/ui/dashboards/postgres/postgresComputeAndStoragePage.ts b/extensions/arc/src/ui/dashboards/postgres/postgresComputeAndStoragePage.ts
index 89815f23a3..01273a629c 100644
--- a/extensions/arc/src/ui/dashboards/postgres/postgresComputeAndStoragePage.ts
+++ b/extensions/arc/src/ui/dashboards/postgres/postgresComputeAndStoragePage.ts
@@ -191,6 +191,7 @@ export class PostgresComputeAndStoragePage extends DashboardPage {
 										memoryRequest: this.saveArgs.workerMemoryRequest,
 										memoryLimit: this.saveArgs.workerMemoryLimit
 									},
+									this._postgresModel.engineVersion,
 									this._postgresModel.controllerModel.azdataAdditionalEnvVars,
 									session
 								);
@@ -203,6 +204,7 @@ export class PostgresComputeAndStoragePage extends DashboardPage {
 										memoryRequest: this.saveArgs.coordinatorMemoryRequest,
 										memoryLimit: this.saveArgs.coordinatorMemoryLimit
 										},
+										this._postgresModel.engineVersion,
 										this._postgresModel.controllerModel.azdataAdditionalEnvVars,
 										session
 									);
diff --git a/extensions/arc/src/ui/dashboards/postgres/postgresCoordinatorNodeParametersPage.ts b/extensions/arc/src/ui/dashboards/postgres/postgresCoordinatorNodeParametersPage.ts
index d4e6daa19a..5332f2cba6 100644
--- a/extensions/arc/src/ui/dashboards/postgres/postgresCoordinatorNodeParametersPage.ts
+++ b/extensions/arc/src/ui/dashboards/postgres/postgresCoordinatorNodeParametersPage.ts
@@ -36,6 +36,7 @@ export class PostgresCoordinatorNodeParametersPage extends PostgresParametersPag
 			await this._azdataApi.azdata.arc.postgres.server.edit(
 				this._postgresModel.info.name,
 				{ engineSettings: engineSettings.toString() },
+				this._postgresModel.engineVersion,
 				this._postgresModel.controllerModel.azdataAdditionalEnvVars,
 				session);
 		*/
@@ -46,6 +47,7 @@ export class PostgresCoordinatorNodeParametersPage extends PostgresParametersPag
 			await this._azdataApi.azdata.arc.postgres.server.edit(
 				this._postgresModel.info.name,
 				{ engineSettings: `''`, replaceEngineSettings: true },
+				this._postgresModel.engineVersion,
 				this._postgresModel.controllerModel.azdataAdditionalEnvVars,
 				session);
 		*/
@@ -56,6 +58,7 @@ export class PostgresCoordinatorNodeParametersPage extends PostgresParametersPag
 			await this._azdataApi.azdata.arc.postgres.server.edit(
 				this._postgresModel.info.name,
 				{ engineSettings: parameterName + '=' },
+				this._postgresModel.engineVersion,
 				this._postgresModel.controllerModel.azdataAdditionalEnvVars,
 				session);
 		*/
diff --git a/extensions/arc/src/ui/dashboards/postgres/postgresOverviewPage.ts b/extensions/arc/src/ui/dashboards/postgres/postgresOverviewPage.ts
index dc83e29ace..da3a3ce8cb 100644
--- a/extensions/arc/src/ui/dashboards/postgres/postgresOverviewPage.ts
+++ b/extensions/arc/src/ui/dashboards/postgres/postgresOverviewPage.ts
@@ -224,6 +224,7 @@ export class PostgresOverviewPage extends DashboardPage {
 									adminPassword: true,
 									noWait: true
 								},
+								this._postgresModel.engineVersion,
 								Object.assign({ 'AZDATA_PASSWORD': password }, this._controllerModel.azdataAdditionalEnvVars),
 								session
 							);
diff --git a/extensions/arc/src/ui/dashboards/postgres/postgresWorkerNodeParametersPage.ts b/extensions/arc/src/ui/dashboards/postgres/postgresWorkerNodeParametersPage.ts
index 1798fdffbc..47d333cb5c 100644
--- a/extensions/arc/src/ui/dashboards/postgres/postgresWorkerNodeParametersPage.ts
+++ b/extensions/arc/src/ui/dashboards/postgres/postgresWorkerNodeParametersPage.ts
@@ -39,6 +39,7 @@ export class PostgresWorkerNodeParametersPage extends PostgresParametersPage {
 		await this._azdataApi.azdata.arc.postgres.server.edit(
 			this._postgresModel.info.name,
 			{ engineSettings: engineSettings },
+			this._postgresModel.engineVersion,
 			this._postgresModel.controllerModel.azdataAdditionalEnvVars,
 			session);
 
@@ -48,6 +49,7 @@ export class PostgresWorkerNodeParametersPage extends PostgresParametersPage {
 		await this._azdataApi.azdata.arc.postgres.server.edit(
 			this._postgresModel.info.name,
 			{ engineSettings: `''`, replaceEngineSettings: true },
+			this._postgresModel.engineVersion,
 			this._postgresModel.controllerModel.azdataAdditionalEnvVars,
 			session);
 
@@ -57,6 +59,7 @@ export class PostgresWorkerNodeParametersPage extends PostgresParametersPage {
 		await this._azdataApi.azdata.arc.postgres.server.edit(
 			this._postgresModel.info.name,
 			{ engineSettings: parameterName + '=' },
+			this._postgresModel.engineVersion,
 			this._postgresModel.controllerModel.azdataAdditionalEnvVars,
 			session);
 
diff --git a/extensions/azdata/src/api.ts b/extensions/azdata/src/api.ts
index 5122d46084..9f6408e9f9 100644
--- a/extensions/azdata/src/api.ts
+++ b/extensions/azdata/src/api.ts
@@ -112,11 +112,12 @@ export function getAzdataApi(localAzdataDiscovered: Promise<IAzdataTool | undefi
 							replaceEngineSettings?: boolean;
 							workers?: number;
 						},
+						engineVersion?: string,
 						additionalEnvVars?: azdataExt.AdditionalEnvVars,
 						session?: azdataExt.AzdataSession) => {
 						await localAzdataDiscovered;
 						throwIfNoAzdataOrEulaNotAccepted(azdataToolService.localAzdata, isEulaAccepted(memento));
-						return azdataToolService.localAzdata.arc.postgres.server.edit(name, args, additionalEnvVars, session);
+						return azdataToolService.localAzdata.arc.postgres.server.edit(name, args, engineVersion, additionalEnvVars, session);
 					}
 				}
 			},
diff --git a/extensions/azdata/src/azdata.ts b/extensions/azdata/src/azdata.ts
index 818086dc17..78cfeab6cd 100644
--- a/extensions/azdata/src/azdata.ts
+++ b/extensions/azdata/src/azdata.ts
@@ -146,6 +146,7 @@ export class AzdataTool implements azdataExt.IAzdataApi {
 						replaceEngineSettings?: boolean,
 						workers?: number
 					},
+					engineVersion?: string,
 					additionalEnvVars?: azdataExt.AdditionalEnvVars,
 					session?: azdataExt.AzdataSession): Promise<azdataExt.AzdataOutput<void>> => {
 					const argsArray = ['arc', 'postgres', 'server', 'edit', '-n', name];
@@ -160,6 +161,7 @@ export class AzdataTool implements azdataExt.IAzdataApi {
 					if (args.port) { argsArray.push('--port', args.port.toString()); }
 					if (args.replaceEngineSettings) { argsArray.push('--replace-engine-settings'); }
 					if (args.workers) { argsArray.push('--workers', args.workers.toString()); }
+					if (engineVersion) { argsArray.push('--engine-version', engineVersion); }
 					return this.executeCommand<void>(argsArray, additionalEnvVars, session);
 				}
 			}
diff --git a/extensions/azdata/src/typings/azdata-ext.d.ts b/extensions/azdata/src/typings/azdata-ext.d.ts
index 23ed29510d..ff7b7b6ee7 100644
--- a/extensions/azdata/src/typings/azdata-ext.d.ts
+++ b/extensions/azdata/src/typings/azdata-ext.d.ts
@@ -160,7 +160,7 @@ declare module 'azdata-ext' {
 
 	export interface PostgresServerShowResult {
 		apiVersion: string, // "arcdata.microsoft.com/v1alpha1"
-		kind: string, // "postgresql"
+		kind: string, // "postgresql-12"
 		metadata: {
 			creationTimestamp: string, // "2020-08-19T20:25:11Z"
 			generation: number, // 1
@@ -177,8 +177,7 @@ declare module 'azdata-ext' {
 				}[],
 				settings: {
 					default: { [key: string]: string } // { "max_connections": "101", "work_mem": "4MB" }
-				},
-				version: string // "12"
+				}
 			},
 			scale: {
 				shards: number, // 1 (shards was renamed to workers, kept here for backwards compatibility)
@@ -279,6 +278,7 @@ declare module 'azdata-ext' {
 							replaceEngineSettings?: boolean,
 							workers?: number
 						},
+						engineVersion?: string,
 						additionalEnvVars?: AdditionalEnvVars,
 						session?: AzdataSession
 					): Promise<AzdataOutput<void>>