diff --git a/package.json b/package.json
index 54685beda377ca..dc024131b4796a 100644
--- a/package.json
+++ b/package.json
@@ -19,8 +19,7 @@
 		"npm": ">=6.9.0 <7"
 	},
 	"config": {
-		"GUTENBERG_PHASE": 2,
-		"COMPONENT_SYSTEM_PHASE": 1
+		"GUTENBERG_PHASE": 2
 	},
 	"dependencies": {
 		"@wordpress/a11y": "file:packages/a11y",
diff --git a/packages/components/src/ui/context/component-system-provider.js b/packages/components/src/ui/context/component-system-provider.js
deleted file mode 100644
index 2d97eb3eed80c6..00000000000000
--- a/packages/components/src/ui/context/component-system-provider.js
+++ /dev/null
@@ -1,36 +0,0 @@
-/**
- * Internal dependencies
- */
-import { ContextSystemProvider } from './context-system-provider';
-
-/**
- * @param {Object} props
- * @param {string[]} [props.__unstableNextInclude]
- * @param {import('react').ReactNode} props.children
- * @param {any} props.value
- */
-export function ComponentSystemProvider( {
-	__unstableNextInclude = [],
-	children,
-	value = {},
-} ) {
-	if ( process.env.COMPONENT_SYSTEM_PHASE === 1 ) {
-		const contextValue = { ...value };
-
-		__unstableNextInclude.forEach( ( namespace ) => {
-			const baseValue = contextValue[ namespace ] || {};
-			contextValue[ namespace ] = {
-				...baseValue,
-				__unstableVersion: 'next',
-			};
-		} );
-
-		return (
-			<ContextSystemProvider value={ contextValue }>
-				{ children }
-			</ContextSystemProvider>
-		);
-	}
-
-	return children;
-}
diff --git a/packages/components/src/ui/context/index.js b/packages/components/src/ui/context/index.js
index 96d346496b6eee..e19795d7b7a13b 100644
--- a/packages/components/src/ui/context/index.js
+++ b/packages/components/src/ui/context/index.js
@@ -1,4 +1,3 @@
-export { ComponentSystemProvider } from './component-system-provider';
 export {
 	ContextSystemProvider,
 	useComponentsContext,
diff --git a/storybook/main.js b/storybook/main.js
index d410195ee23b1b..18f7790acbe428 100644
--- a/storybook/main.js
+++ b/storybook/main.js
@@ -5,9 +5,7 @@ const stories = [
 	'../packages/icons/src/**/stories/*.js',
 ].filter( Boolean );
 
-const customEnvVariables = {
-	COMPONENT_SYSTEM_PHASE: 1,
-};
+const customEnvVariables = {};
 
 module.exports = {
 	stories,
diff --git a/typings/gutenberg-env/index.d.ts b/typings/gutenberg-env/index.d.ts
index efdd71bd328783..0d4d4e47028daf 100644
--- a/typings/gutenberg-env/index.d.ts
+++ b/typings/gutenberg-env/index.d.ts
@@ -1,6 +1,5 @@
 interface Environment {
 	NODE_ENV: unknown;
-	COMPONENT_SYSTEM_PHASE: number | undefined;
 	FORCE_REDUCED_MOTION: boolean | undefined;
 }
 interface Process {
diff --git a/webpack.config.js b/webpack.config.js
index 4915d8e0b385f1..af7269181c007e 100644
--- a/webpack.config.js
+++ b/webpack.config.js
@@ -178,13 +178,6 @@ module.exports = {
 					10
 				) || 1
 			),
-			// Inject the `COMPONENT_SYSTEM_PHASE` global, used for controlling Component System roll-out.
-			'process.env.COMPONENT_SYSTEM_PHASE': JSON.stringify(
-				parseInt(
-					process.env.npm_package_config_COMPONENT_SYSTEM_PHASE,
-					10
-				) || 0
-			),
 			'process.env.FORCE_REDUCED_MOTION': JSON.stringify(
 				process.env.FORCE_REDUCED_MOTION
 			),