diff --git a/pkg/chart/ChartService.go b/pkg/chart/ChartService.go
index 8e7b69e227..419aac1720 100644
--- a/pkg/chart/ChartService.go
+++ b/pkg/chart/ChartService.go
@@ -663,12 +663,6 @@ func (impl *ChartServiceImpl) UpdateAppOverride(ctx context.Context, templateReq
 			return nil, err
 		}
 
-		err = impl.updateChartLocationForEnvironmentConfigs(newCtx, templateRequest.AppId, templateRequest.ChartRefId, templateRequest.UserId, template.ChartVersion)
-		if err != nil {
-			impl.logger.Errorw("error in updating chart location in env overrides", "appId", templateRequest.AppId, "err", err)
-			return nil, err
-		}
-
 	} else {
 		return nil, nil
 	}
@@ -725,6 +719,14 @@ func (impl *ChartServiceImpl) UpdateAppOverride(ctx context.Context, templateReq
 		return nil, err
 	}
 
+	if currentLatestChart.Id != 0 && currentLatestChart.Id != templateRequest.Id {
+		err = impl.updateChartLocationForEnvironmentConfigs(newCtx, templateRequest.AppId, templateRequest.ChartRefId, templateRequest.UserId, template.ChartVersion)
+		if err != nil {
+			impl.logger.Errorw("error in updating chart location in env overrides", "appId", templateRequest.AppId, "err", err)
+			return nil, err
+		}
+	}
+
 	appLevelMetricsUpdateReq := &bean.DeployedAppMetricsRequest{
 		EnableMetrics: templateRequest.IsAppMetricsEnabled,
 		AppId:         templateRequest.AppId,