diff --git a/doc/source/install/index.rst b/doc/source/install/index.rst
index 25345995d..beab4e7c0 100644
--- a/doc/source/install/index.rst
+++ b/doc/source/install/index.rst
@@ -176,8 +176,8 @@ to set ``create_image_via_dib`` to ``true``.
           ``/etc/httpboot/ipa.initramfs``.
 
 If you are running the installation behind a proxy, export the
-environment variables ``http_proxy`` and ``https_proxy`` so that
-ansible will use these proxy settings.
+environment variables ``http_proxy``, ``https_proxy`` and ``no_proxy``
+so that ansible will use these proxy settings.
 
 Installing
 ----------
diff --git a/playbooks/install.yaml b/playbooks/install.yaml
index cfffa2610..1dffbdd1f 100644
--- a/playbooks/install.yaml
+++ b/playbooks/install.yaml
@@ -27,3 +27,4 @@
   environment:
     http_proxy: "{{ lookup('env','http_proxy') }}"
     https_proxy: "{{ lookup('env','https_proxy') }}"
+    no_proxy: "{{ lookup('env', 'no_proxy') }}"
diff --git a/releasenotes/notes/passing-no-proxy-32191c148442c57d.yaml b/releasenotes/notes/passing-no-proxy-32191c148442c57d.yaml
new file mode 100644
index 000000000..5ac8b100f
--- /dev/null
+++ b/releasenotes/notes/passing-no-proxy-32191c148442c57d.yaml
@@ -0,0 +1,5 @@
+---
+fixes:
+  - |
+    Supports passing ``no_proxy`` environment variable to Ansible, users
+    can use ``no_proxy`` to exclude specified hosts from using proxy.