diff --git a/packages/create-app/templates/default-app/app-config.local.yaml b/packages/create-app/templates/default-app/app-config.local.yaml
index 4d4b6391d7..976293b546 100644
--- a/packages/create-app/templates/default-app/app-config.local.yaml
+++ b/packages/create-app/templates/default-app/app-config.local.yaml
@@ -1,5 +1 @@
 # Backstage override configuration for your local development environment
-auth:
-  providers:
-    guest: {}
-      # See https://github.com/backstage/backstage/blob/master/docs/auth/guest/provider.md
diff --git a/packages/create-app/templates/default-app/app-config.production.yaml b/packages/create-app/templates/default-app/app-config.production.yaml
index 8f0751cd31..05b02acd4f 100644
--- a/packages/create-app/templates/default-app/app-config.production.yaml
+++ b/packages/create-app/templates/default-app/app-config.production.yaml
@@ -28,6 +28,10 @@ backend:
       #   ca: # if you have a CA file and want to verify it you can uncomment this section
       #     $file: <file-path>/ca/server.crt
 
+auth:
+  providers:
+    guest: null
+
 catalog:
   # Overrides the default list locations from app-config.yaml as these contain example data.
   # See https://backstage.io/docs/features/software-catalog/#adding-components-to-the-catalog for more details
diff --git a/packages/create-app/templates/default-app/app-config.yaml.hbs b/packages/create-app/templates/default-app/app-config.yaml.hbs
index 08d2abff59..2fdc9a9077 100644
--- a/packages/create-app/templates/default-app/app-config.yaml.hbs
+++ b/packages/create-app/templates/default-app/app-config.yaml.hbs
@@ -64,7 +64,9 @@ techdocs:
 
 auth:
   # see https://backstage.io/docs/auth/ to learn about auth providers
-  providers: {}
+  providers:
+    # See https://backstage.io/docs/auth/guest/provider
+    guest: {}
 
 scaffolder:
   # see https://backstage.io/docs/features/software-templates/configuration for software template options