diff --git a/etc/default.nix b/etc/default.nix
index 42037c8d440d..cbcb094a0528 100644
--- a/etc/default.nix
+++ b/etc/default.nix
@@ -88,19 +88,8 @@ let
       "common"
       "common-console" # shared stuff for interactive local sessions
     ]
-  )
+  );
 
-  # List of machines for distributed Nix builds in the format expected
-  # by build-remote.pl.
-  ++ optional config.nix.distributedBuilds {
-    source = pkgs.writeText "nix.machines"
-      (pkgs.lib.concatStrings (map (machine:
-        "${machine.sshUser}@${machine.hostName} ${machine.system} ${machine.sshKey} ${toString machine.maxJobs}\n"
-      ) config.nix.buildMachines));
-    target = "nix.machines";
-  }
-    
-  ;
 in
 
 let
diff --git a/modules/programs/bash/bash.nix b/modules/programs/bash/bash.nix
index e7be3b5e1029..d992d0888bae 100644
--- a/modules/programs/bash/bash.nix
+++ b/modules/programs/bash/bash.nix
@@ -15,7 +15,6 @@
           wrapperDir = config.security.wrapperDir;
           modulesTree = config.system.modulesTree;
           defaultLocale = config.i18n.defaultLocale;
-          nixEnvVars = config.nix.envVars;
           shellInit = config.environment.shellInit;
         };
         target = "bashrc";      
diff --git a/modules/programs/bash/bashrc.sh b/modules/programs/bash/bashrc.sh
index ad6e5d3f2477..d18cb010b507 100644
--- a/modules/programs/bash/bashrc.sh
+++ b/modules/programs/bash/bashrc.sh
@@ -9,21 +9,8 @@ export LANG=@defaultLocale@
 export EDITOR=nano
 export INFOPATH=/var/run/current-system/sw/info:/var/run/current-system/sw/share/info
 export LOCATE_PATH=/var/cache/locatedb
-@shellInit@
 export LOCALE_ARCHIVE=/var/run/current-system/sw/lib/locale/locale-archive
-
-
-# Set up secure multi-user builds: non-root users build through the
-# Nix daemon.
-if test "$USER" != root; then
-    export NIX_REMOTE=daemon
-else
-    export NIX_REMOTE=
-fi
-
-
-# Set up the environment variables for running Nix.
-@nixEnvVars@
+@shellInit@
 
 
 # Include the various profiles in the appropriate environment variables.
diff --git a/modules/services/misc/nix-daemon.nix b/modules/services/misc/nix-daemon.nix
index 544ddab58326..ee8d67f74713 100644
--- a/modules/services/misc/nix-daemon.nix
+++ b/modules/services/misc/nix-daemon.nix
@@ -178,13 +178,12 @@ let
       };
     };
   };
+
 in
 
 ###### implementation
 
 let 
-  binsh = config.system.build.binsh;
-  nixEnvVars = config.nix.envVars;
   inherit (config.environment) nix;
 in
 
@@ -193,9 +192,8 @@ in
     options
   ];
 
-  environment = {
-    etc = [
-      { # Nix configuration.
+  environment.etc =
+    [ { # Nix configuration.
         source =
           let
             # Tricky: if we're using a chroot for builds, then we need
@@ -205,7 +203,7 @@ in
             # other paths in the store, we need the closure of /bin/sh
             # in `build-chroot-dirs' - otherwise any builder that uses
             # /bin/sh won't work.
-            binshDeps = pkgs.writeReferencesToFile binsh;
+            binshDeps = pkgs.writeReferencesToFile config.system.build.binsh;
   
             # Likewise, if chroots are turned on, we need Nix's own
             # closure in the chroot.  Otherwise nix-channel and nix-env
@@ -226,23 +224,45 @@ in
             '';
         target = "nix.conf"; # will be symlinked from /nix/etc/nix/nix.conf in activate-configuration.sh.
       }
-    ];
-  };
+    ]
+
+    ++ optional config.nix.distributedBuilds
+      { # List of machines for distributed Nix builds in the format expected
+        # by build-remote.pl.
+        source = pkgs.writeText "nix.machines"
+          (pkgs.lib.concatStrings (map (machine:
+            "${machine.sshUser}@${machine.hostName} ${machine.system} ${machine.sshKey} ${toString machine.maxJobs}\n"
+          ) config.nix.buildMachines));
+        target = "nix.machines";
+      };
+
+  services.extraJobs = [
+    { name = "nix-daemon";
 
-  services = {
-    extraJobs = [{
-      name = "nix-daemon";
-      
       job = ''
         start on startup
         stop on shutdown
         respawn
         script
           export PATH=${if config.nix.distributedBuilds then "${pkgs.openssh}/bin:" else ""}${pkgs.openssl}/bin:${nix}/bin:$PATH
-          ${nixEnvVars}
+          ${config.nix.envVars}
           exec ${nix}/bin/nix-worker --daemon > /dev/null 2>&1
         end script
       '';
-    }];
-  };
+    }
+  ];
+
+  environment.shellInit =
+    ''
+      # Set up the environment variables for running Nix.
+      ${config.nix.envVars}
+      
+      # Set up secure multi-user builds: non-root users build through the
+      # Nix daemon.
+      if test "$USER" != root; then
+          export NIX_REMOTE=daemon
+      else
+          export NIX_REMOTE=
+      fi
+    '';
 }