diff --git a/pkg/ingress/config/ingress_config.go b/pkg/ingress/config/ingress_config.go
index 69f6b1baf..3b3890423 100644
--- a/pkg/ingress/config/ingress_config.go
+++ b/pkg/ingress/config/ingress_config.go
@@ -151,6 +151,33 @@ type IngressConfig struct {
 	clusterId cluster.ID
 
 	httpsConfigMgr *cert.ConfigMgr
+
+	// templateProcessor processes template variables in config
+	templateProcessor *TemplateProcessor
+
+	// secretConfigMgr manages secret dependencies
+	secretConfigMgr *SecretConfigMgr
+}
+
+// getSecretValue implements the getValue function for secret references
+func (m *IngressConfig) getSecretValue(valueType, namespace, name, key string) (string, error) {
+	if valueType != "secret" {
+		return "", fmt.Errorf("unsupported value type: %s", valueType)
+	}
+
+	m.mutex.RLock()
+	defer m.mutex.RUnlock()
+
+	for _, controller := range m.remoteIngressControllers {
+		secret, err := controller.SecretLister().Secrets(namespace).Get(name)
+		if err == nil {
+			if value, exists := secret.Data[key]; exists {
+				return string(value), nil
+			}
+			return "", fmt.Errorf("key %s not found in secret %s/%s", key, namespace, name)
+		}
+	}
+	return "", fmt.Errorf("secret %s/%s not found", namespace, name)
 }
 
 func NewIngressConfig(localKubeClient kube.Client, xdsUpdater istiomodel.XDSUpdater, namespace string, options common.Options) *IngressConfig {
@@ -171,6 +198,13 @@ func NewIngressConfig(localKubeClient kube.Client, xdsUpdater istiomodel.XDSUpda
 		wasmPlugins:              make(map[string]*extensions.WasmPlugin),
 		http2rpcs:                make(map[string]*higressv1.Http2Rpc),
 	}
+
+	// Initialize secret config manager
+	config.secretConfigMgr = NewSecretConfigMgr(xdsUpdater)
+
+	// Initialize template processor with value getter function
+	config.templateProcessor = NewTemplateProcessor(config.getSecretValue, namespace, config.secretConfigMgr)
+
 	mcpbridgeController := mcpbridge.NewController(localKubeClient, options)
 	mcpbridgeController.AddEventHandler(config.AddOrUpdateMcpBridge, config.DeleteMcpBridge)
 	config.mcpbridgeController = mcpbridgeController
@@ -228,6 +262,7 @@ func (m *IngressConfig) RegisterEventHandler(kind config.GroupVersionKind, f ist
 func (m *IngressConfig) AddLocalCluster(options common.Options) {
 	secretController := secret.NewController(m.localKubeClient, options)
 	secretController.AddEventHandler(m.ReflectSecretChanges)
+	secretController.AddEventHandler(m.secretConfigMgr.HandleSecretChange)
 
 	var ingressController common.IngressController
 	v1 := common.V1Available(m.localKubeClient)
@@ -254,10 +289,24 @@ func (m *IngressConfig) List(typ config.GroupVersionKind, namespace string) []co
 	var configs = make([]config.Config, 0)
 
 	if configsFromIngress := m.listFromIngressControllers(typ, namespace); configsFromIngress != nil {
+		// Process templates for ingress configs
+		for i := range configsFromIngress {
+			if err := m.templateProcessor.ProcessConfig(&configsFromIngress[i]); err != nil {
+				IngressLog.Errorf("Failed to process template for config %s/%s: %v",
+					configsFromIngress[i].Namespace, configsFromIngress[i].Name, err)
+			}
+		}
 		configs = append(configs, configsFromIngress...)
 	}
 
 	if configsFromGateway := m.listFromGatewayControllers(typ, namespace); configsFromGateway != nil {
+		// Process templates for gateway configs
+		for i := range configsFromGateway {
+			if err := m.templateProcessor.ProcessConfig(&configsFromGateway[i]); err != nil {
+				IngressLog.Errorf("Failed to process template for config %s/%s: %v",
+					configsFromGateway[i].Namespace, configsFromGateway[i].Name, err)
+			}
+		}
 		configs = append(configs, configsFromGateway...)
 	}
 
@@ -987,7 +1036,6 @@ func (m *IngressConfig) convertIstioWasmPlugin(obj *higressext.WasmPlugin) (*ext
 		return nil, nil
 	}
 	return result, nil
-
 }
 
 func isBoolValueTrue(b *wrappers.BoolValue) bool {
diff --git a/pkg/ingress/config/ingress_template.go b/pkg/ingress/config/ingress_template.go
new file mode 100644
index 000000000..64cfdbbde
--- /dev/null
+++ b/pkg/ingress/config/ingress_template.go
@@ -0,0 +1,119 @@
+// Copyright (c) 2022 Alibaba Group Holding Ltd.
+//
+// Licensed under the Apache License, Version 2.0 (the "License");
+// you may not use this file except in compliance with the License.
+// You may obtain a copy of the License at
+//
+//      http://www.apache.org/licenses/LICENSE-2.0
+//
+// Unless required by applicable law or agreed to in writing, software
+// distributed under the License is distributed on an "AS IS" BASIS,
+// WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+// See the License for the specific language governing permissions and
+// limitations under the License.
+
+package config
+
+import (
+	"encoding/json"
+	"fmt"
+	"regexp"
+	"strings"
+
+	. "github.com/alibaba/higress/pkg/ingress/log"
+	"google.golang.org/protobuf/proto"
+	"istio.io/istio/pkg/config"
+)
+
+// TemplateProcessor handles template substitution in configs
+type TemplateProcessor struct {
+	// getValue is a function that retrieves values by type, namespace, name and key
+	getValue        func(valueType, namespace, name, key string) (string, error)
+	namespace       string
+	secretConfigMgr *SecretConfigMgr
+}
+
+// NewTemplateProcessor creates a new TemplateProcessor with the given value getter function
+func NewTemplateProcessor(getValue func(valueType, namespace, name, key string) (string, error), namespace string, secretConfigMgr *SecretConfigMgr) *TemplateProcessor {
+	return &TemplateProcessor{
+		getValue:        getValue,
+		namespace:       namespace,
+		secretConfigMgr: secretConfigMgr,
+	}
+}
+
+// ProcessConfig processes a config and substitutes any template variables
+func (p *TemplateProcessor) ProcessConfig(cfg *config.Config) error {
+	// Convert spec to JSON string to process substitutions
+	jsonBytes, err := json.Marshal(cfg.Spec)
+	if err != nil {
+		return fmt.Errorf("failed to marshal config spec: %v", err)
+	}
+
+	configStr := string(jsonBytes)
+	// Find all value references in format:
+	// ${type.name.key} or ${type.namespace/name.key}
+	valueRegex := regexp.MustCompile(`\$\{([^.}]+)\.(?:([^/]+)/)?([^.}]+)\.([^}]+)\}`)
+	matches := valueRegex.FindAllStringSubmatch(configStr, -1)
+	// If there are no value references, return immediately
+	if len(matches) == 0 {
+		if p.secretConfigMgr != nil {
+			if err := p.secretConfigMgr.DeleteConfig(cfg); err != nil {
+				IngressLog.Errorf("failed to delete secret dependency: %v", err)
+			}
+		}
+		return nil
+	}
+
+	foundSecretSource := false
+	IngressLog.Infof("start to apply config %s/%s with %d variables", cfg.Namespace, cfg.Name, len(matches))
+	for _, match := range matches {
+		valueType := match[1]
+		var namespace, name, key string
+		if match[2] != "" {
+			// Format: ${type.namespace/name.key}
+			namespace = match[2]
+		} else {
+			// Format: ${type.name.key} - use default namespace
+			namespace = p.namespace
+		}
+		name = match[3]
+		key = match[4]
+
+		// Get value using the provided getter function
+		value, err := p.getValue(valueType, namespace, name, key)
+		if err != nil {
+			return fmt.Errorf("failed to get %s value for %s/%s.%s: %v", valueType, namespace, name, key, err)
+		}
+
+		// Add secret dependency if this is a secret reference
+		if valueType == "secret" && p.secretConfigMgr != nil {
+			foundSecretSource = true
+			secretKey := fmt.Sprintf("%s/%s", namespace, name)
+			if err := p.secretConfigMgr.AddConfig(secretKey, cfg); err != nil {
+				IngressLog.Errorf("failed to add secret dependency: %v", err)
+			}
+		}
+		// Replace placeholder with actual value
+		configStr = strings.Replace(configStr, match[0], value, 1)
+	}
+
+	// Create a new instance of the same type as cfg.Spec
+	newSpec := proto.Clone(cfg.Spec.(proto.Message))
+	if err := json.Unmarshal([]byte(configStr), newSpec); err != nil {
+		return fmt.Errorf("failed to unmarshal substituted config: %v", err)
+	}
+	cfg.Spec = newSpec
+
+	// Delete secret dependency if no secret reference is found
+	if !foundSecretSource {
+		if p.secretConfigMgr != nil {
+			if err := p.secretConfigMgr.DeleteConfig(cfg); err != nil {
+				IngressLog.Errorf("failed to delete secret dependency: %v", err)
+			}
+		}
+	}
+
+	IngressLog.Infof("end to process config %s/%s", cfg.Namespace, cfg.Name)
+	return nil
+}
diff --git a/pkg/ingress/config/ingress_template_test.go b/pkg/ingress/config/ingress_template_test.go
new file mode 100644
index 000000000..300a19509
--- /dev/null
+++ b/pkg/ingress/config/ingress_template_test.go
@@ -0,0 +1,166 @@
+// Copyright (c) 2022 Alibaba Group Holding Ltd.
+//
+// Licensed under the Apache License, Version 2.0 (the "License");
+// you may not use this file except in compliance with the License.
+// You may obtain a copy of the License at
+//
+//      http://www.apache.org/licenses/LICENSE-2.0
+//
+// Unless required by applicable law or agreed to in writing, software
+// distributed under the License is distributed on an "AS IS" BASIS,
+// WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+// See the License for the specific language governing permissions and
+// limitations under the License.
+
+package config
+
+import (
+	"fmt"
+	"testing"
+
+	"github.com/stretchr/testify/assert"
+	"google.golang.org/protobuf/types/known/structpb"
+	extensions "istio.io/api/extensions/v1alpha1"
+	"istio.io/istio/pkg/config"
+	"istio.io/istio/pkg/config/schema/gvk"
+)
+
+func TestTemplateProcessor_ProcessConfig(t *testing.T) {
+	// Create test values map
+	values := map[string]string{
+		"secret.default/test-secret.api_key":                        "test-api-key",
+		"secret.default/test-secret.plugin_conf.timeout":            "5000",
+		"secret.default/test-secret.plugin_conf.max_retries":        "3",
+		"secret.higress-system/auth-secret.auth_config.type":        "basic",
+		"secret.higress-system/auth-secret.auth_config.credentials": "base64-encoded",
+	}
+
+	// Mock value getter function
+	getValue := func(valueType, namespace, name, key string) (string, error) {
+		fullKey := fmt.Sprintf("%s.%s/%s.%s", valueType, namespace, name, key)
+		fmt.Printf("Getting value for %s", fullKey)
+		if value, exists := values[fullKey]; exists {
+			return value, nil
+		}
+		return "", fmt.Errorf("value not found for %s", fullKey)
+	}
+
+	// Create template processor
+	processor := NewTemplateProcessor(getValue, "higress-system", nil)
+
+	tests := []struct {
+		name        string
+		wasmPlugin  *extensions.WasmPlugin
+		expected    *extensions.WasmPlugin
+		expectError bool
+	}{
+		{
+			name: "simple api key reference",
+			wasmPlugin: &extensions.WasmPlugin{
+				PluginName: "test-plugin",
+				PluginConfig: makeStructValue(t, map[string]interface{}{
+					"api_key": "${secret.default/test-secret.api_key}",
+				}),
+			},
+			expected: &extensions.WasmPlugin{
+				PluginName: "test-plugin",
+				PluginConfig: makeStructValue(t, map[string]interface{}{
+					"api_key": "test-api-key",
+				}),
+			},
+			expectError: false,
+		},
+		{
+			name: "config with multiple fields",
+			wasmPlugin: &extensions.WasmPlugin{
+				PluginName: "test-plugin",
+				PluginConfig: makeStructValue(t, map[string]interface{}{
+					"config": map[string]interface{}{
+						"timeout":     "${secret.default/test-secret.plugin_conf.timeout}",
+						"max_retries": "${secret.default/test-secret.plugin_conf.max_retries}",
+					},
+				}),
+			},
+			expected: &extensions.WasmPlugin{
+				PluginName: "test-plugin",
+				PluginConfig: makeStructValue(t, map[string]interface{}{
+					"config": map[string]interface{}{
+						"timeout":     "5000",
+						"max_retries": "3",
+					},
+				}),
+			},
+			expectError: false,
+		},
+		{
+			name: "auth config with default namespace",
+			wasmPlugin: &extensions.WasmPlugin{
+				PluginName: "test-plugin",
+				PluginConfig: makeStructValue(t, map[string]interface{}{
+					"auth": map[string]interface{}{
+						"type":        "${secret.auth-secret.auth_config.type}",
+						"credentials": "${secret.auth-secret.auth_config.credentials}",
+					},
+				}),
+			},
+			expected: &extensions.WasmPlugin{
+				PluginName: "test-plugin",
+				PluginConfig: makeStructValue(t, map[string]interface{}{
+					"auth": map[string]interface{}{
+						"type":        "basic",
+						"credentials": "base64-encoded",
+					},
+				}),
+			},
+			expectError: false,
+		},
+		{
+			name: "non-existent secret",
+			wasmPlugin: &extensions.WasmPlugin{
+				PluginName: "test-plugin",
+				PluginConfig: makeStructValue(t, map[string]interface{}{
+					"api_key": "${secret.default/non-existent.api_key}",
+				}),
+			},
+			expectError: true,
+		},
+	}
+
+	for _, tt := range tests {
+		t.Run(tt.name, func(t *testing.T) {
+			cfg := &config.Config{
+				Meta: config.Meta{
+					GroupVersionKind: gvk.WasmPlugin,
+					Name:             "test-plugin",
+					Namespace:        "default",
+				},
+				Spec: tt.wasmPlugin,
+			}
+
+			err := processor.ProcessConfig(cfg)
+			if tt.expectError {
+				assert.Error(t, err)
+				return
+			}
+
+			assert.NoError(t, err)
+			processedPlugin := cfg.Spec.(*extensions.WasmPlugin)
+
+			// Compare plugin name
+			assert.Equal(t, tt.expected.PluginName, processedPlugin.PluginName)
+
+			// Compare plugin configs
+			if tt.expected.PluginConfig != nil {
+				assert.NotNil(t, processedPlugin.PluginConfig)
+				assert.Equal(t, tt.expected.PluginConfig.AsMap(), processedPlugin.PluginConfig.AsMap())
+			}
+		})
+	}
+}
+
+// Helper function to create structpb.Struct from map
+func makeStructValue(t *testing.T, m map[string]interface{}) *structpb.Struct {
+	s, err := structpb.NewStruct(m)
+	assert.NoError(t, err, "Failed to create struct value")
+	return s
+}
diff --git a/pkg/ingress/config/secret_config_mgr.go b/pkg/ingress/config/secret_config_mgr.go
new file mode 100644
index 000000000..547c2b5d5
--- /dev/null
+++ b/pkg/ingress/config/secret_config_mgr.go
@@ -0,0 +1,157 @@
+// Copyright (c) 2022 Alibaba Group Holding Ltd.
+//
+// Licensed under the Apache License, Version 2.0 (the "License");
+// you may not use this file except in compliance with the License.
+// You may obtain a copy of the License at
+//
+//      http://www.apache.org/licenses/LICENSE-2.0
+//
+// Unless required by applicable law or agreed to in writing, software
+// distributed under the License is distributed on an "AS IS" BASIS,
+// WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+// See the License for the specific language governing permissions and
+// limitations under the License.
+
+package config
+
+import (
+	"fmt"
+	"sync"
+
+	"github.com/alibaba/higress/pkg/ingress/kube/util"
+	. "github.com/alibaba/higress/pkg/ingress/log"
+	istiomodel "istio.io/istio/pilot/pkg/model"
+	"istio.io/istio/pkg/config"
+	"istio.io/istio/pkg/config/schema/kind"
+	"istio.io/istio/pkg/util/sets"
+)
+
+// toConfigKey converts config.Config to istiomodel.ConfigKey
+func toConfigKey(cfg *config.Config) (istiomodel.ConfigKey, error) {
+	return istiomodel.ConfigKey{
+		Kind:      kind.MustFromGVK(cfg.GroupVersionKind),
+		Name:      cfg.Name,
+		Namespace: cfg.Namespace,
+	}, nil
+}
+
+// SecretConfigMgr maintains the mapping between secrets and configs
+type SecretConfigMgr struct {
+	mutex sync.RWMutex
+
+	// configSet tracks all configs that have been added
+	// key format: namespace/name
+	configSet sets.Set[string]
+
+	// secretToConfigs maps secret key to dependent configs
+	// key format: namespace/name
+	secretToConfigs map[string]sets.Set[istiomodel.ConfigKey]
+
+	// watchedSecrets tracks which secrets are being watched
+	watchedSecrets sets.Set[string]
+
+	// xdsUpdater is used to push config updates
+	xdsUpdater istiomodel.XDSUpdater
+}
+
+// NewSecretConfigMgr creates a new SecretConfigMgr
+func NewSecretConfigMgr(xdsUpdater istiomodel.XDSUpdater) *SecretConfigMgr {
+	return &SecretConfigMgr{
+		secretToConfigs: make(map[string]sets.Set[istiomodel.ConfigKey]),
+		watchedSecrets:  sets.New[string](),
+		configSet:       sets.New[string](),
+		xdsUpdater:      xdsUpdater,
+	}
+}
+
+// AddConfig adds a config and its secret dependencies
+func (m *SecretConfigMgr) AddConfig(secretKey string, cfg *config.Config) error {
+	configKey, _ := toConfigKey(cfg)
+
+	m.mutex.Lock()
+	defer m.mutex.Unlock()
+
+	configId := fmt.Sprintf("%s/%s", cfg.Namespace, cfg.Name)
+	m.configSet.Insert(configId)
+
+	if configs, exists := m.secretToConfigs[secretKey]; exists {
+		configs.Insert(configKey)
+	} else {
+		m.secretToConfigs[secretKey] = sets.New(configKey)
+	}
+
+	// Add to watched secrets
+	m.watchedSecrets.Insert(secretKey)
+	return nil
+}
+
+// DeleteConfig removes a config from all secret dependencies
+func (m *SecretConfigMgr) DeleteConfig(cfg *config.Config) error {
+	configKey, _ := toConfigKey(cfg)
+	m.mutex.Lock()
+	defer m.mutex.Unlock()
+
+	configId := fmt.Sprintf("%s/%s", cfg.Namespace, cfg.Name)
+	if !m.configSet.Contains(configId) {
+		return nil
+	}
+
+	removeKeys := make([]string, 0)
+	// Find and remove the config from all secrets
+	for secretKey, configs := range m.secretToConfigs {
+		if configs.Contains(configKey) {
+			configs.Delete(configKey)
+			// If no more configs depend on this secret, remove it
+			if configs.Len() == 0 {
+				removeKeys = append(removeKeys, secretKey)
+			}
+		}
+	}
+
+	//  Remove the secrets from the secretToConfigs map
+	for _, secretKey := range removeKeys {
+		delete(m.secretToConfigs, secretKey)
+		m.watchedSecrets.Delete(secretKey)
+	}
+	// Remove the config from the config set
+	m.configSet.Delete(configId)
+	return nil
+}
+
+// GetConfigsForSecret returns all configs that depend on the given secret
+func (m *SecretConfigMgr) GetConfigsForSecret(secretKey string) []istiomodel.ConfigKey {
+	m.mutex.RLock()
+	defer m.mutex.RUnlock()
+
+	if configs, exists := m.secretToConfigs[secretKey]; exists {
+		return configs.UnsortedList()
+	}
+	return nil
+}
+
+// IsSecretWatched checks if a secret is being watched
+func (m *SecretConfigMgr) IsSecretWatched(secretKey string) bool {
+	m.mutex.RLock()
+	defer m.mutex.RUnlock()
+	return m.watchedSecrets.Contains(secretKey)
+}
+
+// HandleSecretChange handles secret changes and updates affected configs
+func (m *SecretConfigMgr) HandleSecretChange(name util.ClusterNamespacedName) {
+	secretKey := fmt.Sprintf("%s/%s", name.Namespace, name.Name)
+	// Check if this secret is being watched
+	if !m.IsSecretWatched(secretKey) {
+		return
+	}
+
+	// Get affected configs
+	configKeys := m.GetConfigsForSecret(secretKey)
+	if len(configKeys) == 0 {
+		return
+	}
+	IngressLog.Infof("SecretConfigMgr Secret %s changed, updating %d dependent configs and push", secretKey, len(configKeys))
+	m.xdsUpdater.ConfigUpdate(&istiomodel.PushRequest{
+		Full:   true,
+		Reason: istiomodel.NewReasonStats(istiomodel.SecretTrigger),
+	})
+}
diff --git a/pkg/ingress/config/secret_config_mgr_test.go b/pkg/ingress/config/secret_config_mgr_test.go
new file mode 100644
index 000000000..6f31c737f
--- /dev/null
+++ b/pkg/ingress/config/secret_config_mgr_test.go
@@ -0,0 +1,155 @@
+// Copyright (c) 2022 Alibaba Group Holding Ltd.
+//
+// Licensed under the Apache License, Version 2.0 (the "License");
+// you may not use this file except in compliance with the License.
+// You may obtain a copy of the License at
+//
+//      http://www.apache.org/licenses/LICENSE-2.0
+//
+// Unless required by applicable law or agreed to in writing, software
+// distributed under the License is distributed on an "AS IS" BASIS,
+// WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+// See the License for the specific language governing permissions and
+// limitations under the License.
+
+package config
+
+import (
+	"k8s.io/apimachinery/pkg/types"
+	"testing"
+
+	"github.com/alibaba/higress/pkg/ingress/kube/util"
+	"github.com/stretchr/testify/assert"
+	istiomodel "istio.io/istio/pilot/pkg/model"
+	"istio.io/istio/pkg/cluster"
+	"istio.io/istio/pkg/config"
+	"istio.io/istio/pkg/config/schema/gvk"
+	"istio.io/istio/pkg/config/schema/kind"
+)
+
+type mockXdsUpdater struct {
+	lastPushRequest *istiomodel.PushRequest
+}
+
+func (m *mockXdsUpdater) EDSUpdate(shard istiomodel.ShardKey, hostname string, namespace string, entry []*istiomodel.IstioEndpoint) {
+	//TODO implement me
+	panic("implement me")
+}
+
+func (m *mockXdsUpdater) EDSCacheUpdate(shard istiomodel.ShardKey, hostname string, namespace string, entry []*istiomodel.IstioEndpoint) {
+	//TODO implement me
+	panic("implement me")
+}
+
+func (m *mockXdsUpdater) SvcUpdate(shard istiomodel.ShardKey, hostname string, namespace string, event istiomodel.Event) {
+	//TODO implement me
+	panic("implement me")
+}
+
+func (m *mockXdsUpdater) ProxyUpdate(clusterID cluster.ID, ip string) {
+	//TODO implement me
+	panic("implement me")
+}
+
+func (m *mockXdsUpdater) RemoveShard(shardKey istiomodel.ShardKey) {
+	//TODO implement me
+	panic("implement me")
+}
+
+func (m *mockXdsUpdater) ConfigUpdate(req *istiomodel.PushRequest) {
+	m.lastPushRequest = req
+}
+
+func TestSecretConfigMgr(t *testing.T) {
+	updater := &mockXdsUpdater{}
+	mgr := NewSecretConfigMgr(updater)
+
+	// Test AddConfig
+	t.Run("AddConfig", func(t *testing.T) {
+		wasmPlugin := &config.Config{
+			Meta: config.Meta{
+				GroupVersionKind: gvk.WasmPlugin,
+				Name:             "test-plugin",
+				Namespace:        "default",
+			},
+		}
+
+		err := mgr.AddConfig("default/test-secret", wasmPlugin)
+		assert.NoError(t, err)
+		assert.True(t, mgr.IsSecretWatched("default/test-secret"))
+
+		configs := mgr.GetConfigsForSecret("default/test-secret")
+		assert.Len(t, configs, 1)
+		assert.Equal(t, kind.WasmPlugin, configs[0].Kind)
+		assert.Equal(t, "test-plugin", configs[0].Name)
+		assert.Equal(t, "default", configs[0].Namespace)
+	})
+
+	// Test DeleteConfig
+	t.Run("DeleteConfig", func(t *testing.T) {
+		wasmPlugin := &config.Config{
+			Meta: config.Meta{
+				GroupVersionKind: gvk.WasmPlugin,
+				Name:             "test-plugin",
+				Namespace:        "default",
+			},
+		}
+
+		err := mgr.DeleteConfig(wasmPlugin)
+		assert.NoError(t, err)
+		assert.False(t, mgr.IsSecretWatched("default/test-secret"))
+		assert.Empty(t, mgr.GetConfigsForSecret("default/test-secret"))
+	})
+
+	// Test HandleSecretChange
+	t.Run("HandleSecretChange", func(t *testing.T) {
+		// Add a config first
+		wasmPlugin := &config.Config{
+			Meta: config.Meta{
+				GroupVersionKind: gvk.WasmPlugin,
+				Name:             "test-plugin",
+				Namespace:        "default",
+			},
+		}
+		err := mgr.AddConfig("default/test-secret", wasmPlugin)
+		assert.NoError(t, err)
+
+		// Test secret change
+		secretName := util.ClusterNamespacedName{
+			NamespacedName: types.NamespacedName{
+				Name:      "test-secret",
+				Namespace: "default",
+			},
+		}
+
+		mgr.HandleSecretChange(secretName)
+		assert.NotNil(t, updater.lastPushRequest)
+		assert.True(t, updater.lastPushRequest.Full)
+	})
+
+	// Test full push for secret update
+	t.Run("FullPushForSecretUpdate", func(t *testing.T) {
+		// Add a secret config
+		secretConfig := &config.Config{
+			Meta: config.Meta{
+				GroupVersionKind: gvk.Secret,
+				Name:             "test-secret",
+				Namespace:        "default",
+			},
+		}
+		err := mgr.AddConfig("default/test-secret", secretConfig)
+		assert.NoError(t, err)
+
+		// Update the secret
+		secretName := util.ClusterNamespacedName{
+			NamespacedName: types.NamespacedName{
+				Name:      "test-secret",
+				Namespace: "default",
+			},
+		}
+
+		mgr.HandleSecretChange(secretName)
+		assert.NotNil(t, updater.lastPushRequest)
+		assert.True(t, updater.lastPushRequest.Full)
+	})
+}
diff --git a/test/e2e/conformance/tests/go-wasm-basic-auth-template.go b/test/e2e/conformance/tests/go-wasm-basic-auth-template.go
new file mode 100644
index 000000000..8d0540a09
--- /dev/null
+++ b/test/e2e/conformance/tests/go-wasm-basic-auth-template.go
@@ -0,0 +1,192 @@
+// Copyright (c) 2022 Alibaba Group Holding Ltd.
+//
+// Licensed under the Apache License, Version 2.0 (the "License");
+// you may not use this file except in compliance with the License.
+// You may obtain a copy of the License at
+//
+//      http://www.apache.org/licenses/LICENSE-2.0
+//
+// Unless required by applicable law or agreed to in writing, software
+// distributed under the License is distributed on an "AS IS" BASIS,
+// WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+// See the License for the specific language governing permissions and
+// limitations under the License.
+
+package tests
+
+import (
+	"github.com/alibaba/higress/test/e2e/conformance/utils/kubernetes"
+	"testing"
+
+	"github.com/alibaba/higress/test/e2e/conformance/utils/http"
+	"github.com/alibaba/higress/test/e2e/conformance/utils/suite"
+)
+
+func init() {
+	Register(WasmPluginsBasicAuthTemplate)
+}
+
+var WasmPluginsBasicAuthTemplate = suite.ConformanceTest{
+	ShortName:   "WasmPluginsBasicAuthTemplate",
+	Description: "The Ingress in the higress-conformance-infra namespace test the basic-auth WASM plugin.",
+	Manifests:   []string{"tests/go-wasm-basic-auth-template.yaml"},
+	Features:    []suite.SupportedFeature{suite.WASMGoConformanceFeature},
+	Test: func(t *testing.T, suite *suite.ConformanceTestSuite) {
+		testcases := []http.Assertion{
+			{
+				Meta: http.AssertionMeta{
+					TestCaseName:    "case 1: Successful authentication",
+					TargetBackend:   "infra-backend-v1",
+					TargetNamespace: "higress-conformance-infra",
+				},
+				Request: http.AssertionRequest{
+					ActualRequest: http.Request{
+						Host:    "foo.com",
+						Path:    "/foo",
+						Headers: map[string]string{"Authorization": "Basic YWRtaW46MTIzNDU2"}, // base64("admin:123456")
+					},
+					ExpectedRequest: &http.ExpectedRequest{
+						Request: http.Request{
+							Host:    "foo.com",
+							Path:    "/foo",
+							Headers: map[string]string{"X-Mse-Consumer": "consumer1"},
+						},
+					},
+				},
+				Response: http.AssertionResponse{
+					ExpectedResponse: http.Response{
+						StatusCode: 200,
+					},
+				},
+			},
+			{
+				Meta: http.AssertionMeta{
+					TestCaseName:    "case 2: No Basic Authentication information found",
+					TargetBackend:   "infra-backend-v1",
+					TargetNamespace: "higress-conformance-infra",
+				},
+				Request: http.AssertionRequest{
+					ActualRequest: http.Request{
+						Host: "foo.com",
+						Path: "/foo",
+					},
+				},
+				Response: http.AssertionResponse{
+					ExpectedResponse: http.Response{
+						StatusCode: 401,
+					},
+					AdditionalResponseHeaders: map[string]string{
+						"WWW-Authenticate": "Basic realm=MSE Gateway",
+					},
+				},
+			},
+			{
+				Meta: http.AssertionMeta{
+					TestCaseName:    "case 3: Invalid username and/or password",
+					TargetBackend:   "infra-backend-v1",
+					TargetNamespace: "higress-conformance-infra",
+				},
+				Request: http.AssertionRequest{
+					ActualRequest: http.Request{
+						Host:    "foo.com",
+						Path:    "/foo",
+						Headers: map[string]string{"Authorization": "Basic YWRtaW46cXdlcg=="}, // base64("admin:qwer")
+					},
+				},
+				Response: http.AssertionResponse{
+					ExpectedResponse: http.Response{
+						StatusCode: 401,
+					},
+					AdditionalResponseHeaders: map[string]string{
+						"WWW-Authenticate": "Basic realm=MSE Gateway",
+					},
+				},
+			},
+			{
+				Meta: http.AssertionMeta{
+					TestCaseName:    "case 4: Unauthorized consumer",
+					TargetBackend:   "infra-backend-v1",
+					TargetNamespace: "higress-conformance-infra",
+				},
+				Request: http.AssertionRequest{
+					ActualRequest: http.Request{
+						Host:    "foo.com",
+						Path:    "/foo",
+						Headers: map[string]string{"Authorization": "Basic Z3Vlc3Q6YWJj"}, // base64("guest:abc")
+					},
+				},
+				Response: http.AssertionResponse{
+					ExpectedResponse: http.Response{
+						StatusCode: 403,
+					},
+					AdditionalResponseHeaders: map[string]string{
+						"WWW-Authenticate": "Basic realm=MSE Gateway",
+					},
+				},
+			},
+		}
+
+		testcases2 := []http.Assertion{
+			{
+				Meta: http.AssertionMeta{
+					TestCaseName:    "case 5: Invalid username and/or password",
+					TargetBackend:   "infra-backend-v1",
+					TargetNamespace: "higress-conformance-infra",
+				},
+				Request: http.AssertionRequest{
+					ActualRequest: http.Request{
+						Host:    "foo.com",
+						Path:    "/foo",
+						Headers: map[string]string{"Authorization": "Basic YWRtaW46MTIzNDU2"}, // base64("admin:123456")
+					},
+					ExpectedRequest: &http.ExpectedRequest{
+						Request: http.Request{
+							Host:    "foo.com",
+							Path:    "/foo",
+							Headers: map[string]string{"X-Mse-Consumer": "consumer1"},
+						},
+					},
+				},
+				Response: http.AssertionResponse{
+					ExpectedResponse: http.Response{
+						StatusCode: 401,
+					},
+				},
+			},
+			{
+				Meta: http.AssertionMeta{
+					TestCaseName:    "case 6: Successful authentication",
+					TargetBackend:   "infra-backend-v1",
+					TargetNamespace: "higress-conformance-infra",
+				},
+				Request: http.AssertionRequest{
+					ActualRequest: http.Request{
+						Host:    "foo.com",
+						Path:    "/foo",
+						Headers: map[string]string{"Authorization": "Basic YWRtaW46cXdlcg=="}, // base64("admin:qwer")
+					},
+				},
+				Response: http.AssertionResponse{
+					ExpectedResponse: http.Response{
+						StatusCode: 200,
+					},
+					AdditionalResponseHeaders: map[string]string{
+						"WWW-Authenticate": "Basic realm=MSE Gateway",
+					},
+				},
+			},
+		}
+		t.Run("WasmPlugins basic-auth", func(t *testing.T) {
+			for _, testcase := range testcases {
+				http.MakeRequestAndExpectEventuallyConsistentResponse(t, suite.RoundTripper, suite.TimeoutConfig, suite.GatewayAddress, testcase)
+			}
+			err := kubernetes.ApplySecret(t, suite.Client, "higress-conformance-infra", "auth-secret", "auth.credential1", "admin:qwer")
+			if err != nil {
+				t.Fatalf("can't apply secret %s in namespace %s for data key %s", "auth-secret", "higress-conformance-infra", "auth.credential1")
+			}
+			for _, testcase := range testcases2 {
+				http.MakeRequestAndExpectEventuallyConsistentResponse(t, suite.RoundTripper, suite.TimeoutConfig, suite.GatewayAddress, testcase)
+			}
+		})
+	},
+}
diff --git a/test/e2e/conformance/tests/go-wasm-basic-auth-template.yaml b/test/e2e/conformance/tests/go-wasm-basic-auth-template.yaml
new file mode 100644
index 000000000..0ea0e3264
--- /dev/null
+++ b/test/e2e/conformance/tests/go-wasm-basic-auth-template.yaml
@@ -0,0 +1,77 @@
+# Copyright (c) 2022 Alibaba Group Holding Ltd.
+#
+# Licensed under the Apache License, Version 2.0 (the "License");
+# you may not use this file except in compliance with the License.
+# You may obtain a copy of the License at
+#
+#      http://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+
+
+apiVersion: v1
+kind: Secret
+metadata:
+  name: auth-secret
+  namespace: higress-conformance-infra
+type: Opaque
+stringData:
+  auth.credential1: "admin:123456"
+
+---
+apiVersion: v1
+kind: Secret
+metadata:
+  name: auth-secret
+  namespace: higress-system
+type: Opaque
+stringData:
+  auth.credential2: "guest:abc"
+
+---
+apiVersion: networking.k8s.io/v1
+kind: Ingress
+metadata:
+  annotations:
+  name: wasmplugin-basic-auth
+  namespace: higress-conformance-infra
+spec:
+  ingressClassName: higress
+  rules:
+    - host: "foo.com"
+      http:
+        paths:
+          - pathType: Prefix
+            path: "/foo"
+            backend:
+              service:
+                name: infra-backend-v1
+                port:
+                  number: 8080
+---
+apiVersion: extensions.higress.io/v1alpha1
+kind: WasmPlugin
+metadata:
+  name: basic-auth
+  namespace: higress-system
+spec:
+  defaultConfig:
+    consumers:
+      - credential: ${secret.higress-conformance-infra/auth-secret.auth.credential1}
+        name: consumer1
+      - credential: ${secret.auth-secret.auth.credential2}
+        name: consumer2
+    global_auth: false
+  defaultConfigDisable: false
+  matchRules:
+    - config:
+        allow:
+          - consumer1
+      configDisable: false
+      ingress:
+        - higress-conformance-infra/wasmplugin-basic-auth
+  url: oci://higress-registry.cn-hangzhou.cr.aliyuncs.com/plugins/go-basic-auth:1.0.0
diff --git a/test/e2e/conformance/utils/kubernetes/helpers.go b/test/e2e/conformance/utils/kubernetes/helpers.go
index f423e1d68..ed8325ce4 100644
--- a/test/e2e/conformance/utils/kubernetes/helpers.go
+++ b/test/e2e/conformance/utils/kubernetes/helpers.go
@@ -144,3 +144,15 @@ func ApplyConfigmapDataWithYaml(t *testing.T, c client.Client, namespace string,
 	t.Logf("🏗 Updating %s %s", name, namespace)
 	return c.Update(ctx, cm)
 }
+
+func ApplySecret(t *testing.T, c client.Client, namespace string, name string, key string, val string) error {
+	ctx, cancel := context.WithTimeout(context.Background(), 10*time.Second)
+	defer cancel()
+	cm := &v1.Secret{}
+	if err := c.Get(ctx, client.ObjectKey{Namespace: namespace, Name: name}, cm); err != nil {
+		return err
+	}
+	cm.Data[key] = []byte(val)
+	t.Logf("🏗 Updating Secret %s %s", name, namespace)
+	return c.Update(ctx, cm)
+}