Updating component configuration in lifecycle install script and accessing in run script

In my component recipe, I have a placeholder for the POSTGRES_PASSWORD configuration. I set the value in the install phase of the lifecycle from a secrets manager secret. I then try to read the updated configuration value in the run phase with {configuration:/POSTGRES_PASSWORD} extrapolation. I am able to update the configuration, with update_configuration, in the install script and also confirm that the configuration is updated by retrieving it with get_configuration. But when I try to access the value of the configuration in the run script, I get the default empty value.

Can anyone help figure this out? I am new to Greengrass and still trying to figure things out.

Here is a part of the recipe (with some debug messages) that I am using -

ComponentConfiguration:
  DefaultConfiguration:
    POSTGRES_PASSWORD: ""
    DBCredentialSecret: "<secret_arn>"
Lifecycle:
    Install: 
      Script: | 
        #!/bin/bash
        python3 -m pip install --user awsiotsdk
        python3 -u {artifacts:decompressedPath}/comp/src/update_config.py "{configuration:/DBCredentialSecret}"        
        docker pull supabase/postgres
    Run: 
      Script: |
        echo 'Starting supabase...'
        echo '{configuration:/POSTGRES_PASSWORD}' 
        docker rm -f supabase-db 
        docker run -d --name supabase-db --restart unless-stopped -p '5432:5432' -e POSTGRES_PASSWORD='{configuration:/POSTGRES_PASSWORD}' -e POSTGRES_HOST='{configuration:/POSTGRES_HOST}' supabase/postgres postgres -c config_file=/etc/postgresql/postgresql.conf -c log_min_messages=fatal

Thanks!