diff --git a/.gitignore b/.gitignore
index fefb88c8..e43ec847 100644
--- a/.gitignore
+++ b/.gitignore
@@ -27,6 +27,7 @@ pip-log.txt
 .coverage
 .tox
 nosetests.xml
+functional_creds.conf
 
 # Translations
 *.mo
diff --git a/functional_creds.conf.sample b/functional_creds.conf.sample
new file mode 100644
index 00000000..cb9ae965
--- /dev/null
+++ b/functional_creds.conf.sample
@@ -0,0 +1,12 @@
+# Credentials for functional testing
+[auth]
+uri = http://10.42.0.50:5000/v2.0
+
+[admin]
+user = admin
+tenant = admin
+pass = secrete
+[demo]
+user = demo
+tenant = demo
+pass = demo_secret
\ No newline at end of file
diff --git a/functionaltests/run_tests.sh b/functionaltests/run_tests.sh
index 751b47ea..d4c4d570 100644
--- a/functionaltests/run_tests.sh
+++ b/functionaltests/run_tests.sh
@@ -22,13 +22,37 @@ fi
 
 echo "Successfully contacted Mistral API"
 
-# Where tempest code lives
-TEMPEST_DIR=${TEMPEST_DIR:-/opt/stack/new/tempest}
+export BASE=/opt/stack
+export MISTRALCLIENT_DIR="$BASE/new/python-mistralclient"
 
-# Add tempest source tree to PYTHONPATH
-export PYTHONPATH=$PYTHONPATH:$TEMPEST_DIR
+# Get demo credentials.
+cd ${BASE}/new/devstack
+source openrc demo demo
 
-#installing requirements for tempest
-pip install -r $TEMPEST_DIR/requirements.txt
+export OS_ALT_USERNAME=${OS_USERNAME}
+export OS_ALT_TENANT_NAME=${OS_TENANT_NAME}
+export OS_ALT_PASSWORD=${OS_PASSWORD}
 
-nosetests -sv mistralclient/tests/functional/
+# Get admin credentials.
+source openrc admin admin
+
+# Store these credentials into the config file.
+CREDS_FILE=${MISTRALCLIENT_DIR}/functional_creds.conf
+cat <<EOF > ${CREDS_FILE}
+# Credentials for functional testing
+[auth]
+uri = $OS_AUTH_URL
+[admin]
+user = $OS_USERNAME
+tenant = $OS_TENANT_NAME
+pass = $OS_PASSWORD
+[demo]
+user = $OS_ALT_USERNAME
+tenant = $OS_ALT_TENANT_NAME
+pass = $OS_ALT_PASSWORD
+EOF
+
+cd $MISTRALCLIENT_DIR
+
+# Run tests
+tox -efunctional -- nosetests -sv mistralclient/tests/functional
diff --git a/mistralclient/tests/functional/cli/base.py b/mistralclient/tests/functional/cli/base.py
index 791db41a..55200216 100644
--- a/mistralclient/tests/functional/cli/base.py
+++ b/mistralclient/tests/functional/cli/base.py
@@ -14,10 +14,51 @@
 
 import os
 
-from tempest import config
+from six.moves import configparser
 from tempest_lib.cli import base
 
-CONF = config.CONF
+
+CLI_DIR = os.environ.get(
+    'OS_MISTRALCLIENT_EXEC_DIR',
+    os.path.join(os.path.abspath('.'), '.tox/functional/bin')
+)
+_CREDS_FILE = 'functional_creds.conf'
+
+
+def credentials(group='admin'):
+    """Retrieves credentials to run functional tests.
+
+    Credentials are either read from the environment or from a config file
+    ('functional_creds.conf'). Environment variables override those from the
+    config file.
+
+    The 'functional_creds.conf' file is the clean and new way to use (by
+    default tox 2.0 does not pass environment variables).
+    """
+    if group == 'admin':
+        username = os.environ.get('OS_USERNAME')
+        password = os.environ.get('OS_PASSWORD')
+        tenant_name = os.environ.get('OS_TENANT_NAME')
+    else:
+        username = os.environ.get('OS_ALT_USERNAME')
+        password = os.environ.get('OS_ALT_PASSWORD')
+        tenant_name = os.environ.get('OS_ALT_TENANT_NAME')
+
+    auth_url = os.environ.get('OS_AUTH_URL')
+
+    config = configparser.RawConfigParser()
+    if config.read(_CREDS_FILE):
+        username = username or config.get(group, 'user')
+        password = password or config.get(group, 'pass')
+        tenant_name = tenant_name or config.get(group, 'tenant')
+        auth_url = auth_url or config.get('auth', 'uri')
+
+    return {
+        'username': username,
+        'password': password,
+        'tenant_name': tenant_name,
+        'auth_url': auth_url
+    }
 
 
 class MistralCLIAuth(base.ClientTestBase):
@@ -25,12 +66,15 @@ class MistralCLIAuth(base.ClientTestBase):
     _mistral_url = None
 
     def _get_admin_clients(self):
+        creds = credentials()
+
         clients = base.CLIClient(
-            username=CONF.identity.admin_username,
-            password=CONF.identity.admin_password,
-            tenant_name=CONF.identity.admin_tenant_name,
-            uri=CONF.identity.uri,
-            cli_dir='/usr/local/bin')
+            username=creds['username'],
+            password=creds['password'],
+            tenant_name=creds['tenant_name'],
+            uri=creds['auth_url'],
+            cli_dir=CLI_DIR
+        )
 
         return clients
 
@@ -56,12 +100,15 @@ class MistralCLIAltAuth(base.ClientTestBase):
     _mistral_url = None
 
     def _get_alt_clients(self):
+        creds = credentials('demo')
+
         clients = base.CLIClient(
-            username=CONF.identity.alt_username,
-            password=CONF.identity.alt_password,
-            tenant_name=CONF.identity.alt_tenant_name,
-            uri=CONF.identity.uri,
-            cli_dir='/usr/local/bin')
+            username=creds['username'],
+            password=creds['password'],
+            tenant_name=creds['tenant_name'],
+            uri=creds['auth_url'],
+            cli_dir=CLI_DIR
+        )
 
         return clients
 
diff --git a/test-requirements.txt b/test-requirements.txt
index 45e1c647..1209793b 100644
--- a/test-requirements.txt
+++ b/test-requirements.txt
@@ -8,4 +8,5 @@ unittest2
 fixtures>=0.3.14
 mock>=1.0
 nose
+tempest-lib>=0.6.1
 testtools>=1.4.0
diff --git a/tox.ini b/tox.ini
index 452f9902..1570c245 100644
--- a/tox.ini
+++ b/tox.ini
@@ -21,6 +21,11 @@ deps =
     -r{toxinidir}/test-requirements.txt
 commands = nosetests mistralclient/tests/unit
 
+[testenv:functional]
+setenv =
+    OS_TEST_PATH = ./mistralclient/tests/functional
+commands = {posargs}
+
 [testenv:pep8]
 commands = flake8 {posargs}