diff --git a/Makefile b/Makefile
index 7648d07df4..b3fbf4009a 100644
--- a/Makefile
+++ b/Makefile
@@ -5,9 +5,10 @@ VERSION := $(shell ./version.sh)
 COMMIT := $(shell [ -z "${COMMIT_ID}" ] && git log -1 --format='%H' || echo ${COMMIT_ID} )
 BUILDTIME := $(shell date -u +"%Y%m%d.%H%M%S" )
 DOCKER ?= docker
-# allow setting of DOCKER_COMPOSE_ARGS to pass additional args to docker compose
-# useful for setting profiles
-DOCKER_COMPOSE ?= $(DOCKER) compose $(COMPOSE_ARGS)
+# allow setting of NODE_COMPOSE_ARGS to pass additional args to docker compose
+# useful for setting profiles and/ort optional overlays
+# example: NODE_COMPOSE_ARGS="--profile monitoring -f docker-compose-persistent.yml"
+DOCKER_COMPOSE ?= $(DOCKER) compose $(NODE_COMPOSE_ARGS)
 DOCKER_BUF := $(DOCKER) run --rm -v $(CURDIR):/workspace --workdir /workspace bufbuild/buf
 GOFLAGS := ""
 GOLANG_CROSS_VERSION ?= v1.22.4
@@ -224,7 +225,7 @@ start-localnet-skip-build:
 
 # stop-localnet should include all profiles so other containers are also removed
 stop-localnet:
-	cd contrib/localnet/ && $(DOCKER_COMPOSE) --profile all down --remove-orphans
+	cd contrib/localnet/ && $(DOCKER_COMPOSE) --profile all -f docker-compose.yml down --remove-orphans
 
 ###############################################################################
 ###                         E2E tests               						###
diff --git a/contrib/localnet/docker-compose.yml b/contrib/localnet/docker-compose.yml
index dda07432ae..e3f2b5c9c9 100644
--- a/contrib/localnet/docker-compose.yml
+++ b/contrib/localnet/docker-compose.yml
@@ -313,7 +313,7 @@ services:
       - ssh:/root/.ssh
 
   grafana:
-    image: grafana/grafana:9.1.7
+    image: grafana/grafana:10.4.8
     container_name: grafana
     hostname: grafana
     profiles:
@@ -322,6 +322,7 @@ services:
     volumes:
       - ./grafana/datasource.yaml:/etc/grafana/provisioning/datasources/datasource.yaml
       - ./grafana/dashboards/:/etc/grafana/provisioning/dashboards
+      - ./grafana/grafana.ini:/etc/grafana/grafana.ini
       - grafana_storage:/var/lib/grafana
     ports:
       - "3000:3000"
diff --git a/contrib/localnet/grafana/grafana.ini b/contrib/localnet/grafana/grafana.ini
new file mode 100644
index 0000000000..2542a77f90
--- /dev/null
+++ b/contrib/localnet/grafana/grafana.ini
@@ -0,0 +1,5 @@
+[auth.anonymous]
+enabled = true
+
+org_id = 1
+org_role = Editor