diff --git a/backend/config/__init__.py b/backend/config/__init__.py
new file mode 100644
index 000000000..585beface
--- /dev/null
+++ b/backend/config/__init__.py
@@ -0,0 +1 @@
+"""Configuration package for backend services."""
diff --git a/backend/config/hardhat_config.py b/backend/config/hardhat_config.py
new file mode 100644
index 000000000..02bc77341
--- /dev/null
+++ b/backend/config/hardhat_config.py
@@ -0,0 +1,31 @@
+"""Centralized configuration for Hardhat settings."""
+
+import os
+from web3 import Web3
+
+
+class HardhatConfig:
+    """Configuration class for Hardhat network settings."""
+
+    @staticmethod
+    def get_port() -> str:
+        """Get the Hardhat port from environment variable."""
+        return os.environ.get("HARDHAT_PORT", "8545")
+
+    @staticmethod
+    def get_base_url() -> str:
+        """Get the Hardhat base URL from environment variable."""
+        return os.environ.get("HARDHAT_URL", "http://localhost")
+
+    @staticmethod
+    def get_full_url() -> str:
+        """Get the complete Hardhat URL with port."""
+        port = HardhatConfig.get_port()
+        url = HardhatConfig.get_base_url()
+        return f"{url}:{port}"
+
+    @staticmethod
+    def get_web3_instance() -> Web3:
+        """Get a Web3 instance connected to Hardhat network."""
+        hardhat_url = HardhatConfig.get_full_url()
+        return Web3(Web3.HTTPProvider(hardhat_url))
diff --git a/backend/database_handler/transactions_processor.py b/backend/database_handler/transactions_processor.py
index d0c3bcce4..0a1f2de89 100644
--- a/backend/database_handler/transactions_processor.py
+++ b/backend/database_handler/transactions_processor.py
@@ -15,7 +15,7 @@
 import time
 from backend.domain.types import TransactionType
 from web3 import Web3
-import os
+from backend.config.hardhat_config import HardhatConfig
 
 
 class TransactionAddressFilter(Enum):
@@ -105,10 +105,7 @@ def __init__(
         self.session = session
 
         # Connect to Hardhat Network
-        port = os.environ.get("HARDHAT_PORT")
-        url = os.environ.get("HARDHAT_URL")
-        hardhat_url = f"{url}:{port}"
-        self.web3 = Web3(Web3.HTTPProvider(hardhat_url))
+        self.web3 = HardhatConfig.get_web3_instance()
 
     @staticmethod
     def _parse_transaction_data(transaction_data: Transactions) -> dict:
diff --git a/backend/protocol_rpc/endpoint_generator.py b/backend/protocol_rpc/endpoint_generator.py
index 14c21db10..58d1a404a 100644
--- a/backend/protocol_rpc/endpoint_generator.py
+++ b/backend/protocol_rpc/endpoint_generator.py
@@ -11,10 +11,10 @@
 from flask_jsonrpc.exceptions import JSONRPCError
 from functools import partial, wraps
 import requests
-import os
 import traceback
 from backend.protocol_rpc.aio import run_in_main_server_loop
 from backend.protocol_rpc.message_handler.base import MessageHandler
+from backend.config.hardhat_config import HardhatConfig
 
 
 def get_json_rpc_method_name(function: Callable, method_name: str | None = None):
@@ -67,9 +67,7 @@ def unfold(x: typing.Any):
 def setup_eth_method_handler(jsonrpc: JSONRPC):
     """Forwards eth_ methods to Hardhat if no own implementation is available"""
     app = jsonrpc.app
-    port = os.environ.get("HARDHAT_PORT")
-    url = os.environ.get("HARDHAT_URL")
-    HARDHAT_URL = f"{url}:{port}"
+    hardhat_url = HardhatConfig.get_full_url()
 
     @app.before_request
     def handle_eth_methods():
@@ -89,7 +87,7 @@ def handle_eth_methods():
                         try:
                             with requests.Session() as http:
                                 result = http.post(
-                                    HARDHAT_URL,
+                                    hardhat_url,
                                     json=request_json,
                                     headers={"Content-Type": "application/json"},
                                 ).json()
diff --git a/backend/protocol_rpc/endpoints.py b/backend/protocol_rpc/endpoints.py
index 33c71a8a3..1cf5c4b6b 100644
--- a/backend/protocol_rpc/endpoints.py
+++ b/backend/protocol_rpc/endpoints.py
@@ -9,6 +9,7 @@
 from sqlalchemy import Table
 from sqlalchemy.orm import Session
 import backend.validators as validators
+from backend.config.hardhat_config import HardhatConfig
 
 from backend.database_handler.contract_snapshot import ContractSnapshot
 from backend.database_handler.llm_providers import LLMProviderRegistry
@@ -879,8 +880,39 @@ def get_gas_price() -> str:
 
 
 def get_gas_estimate(data: Any) -> str:
-    gas_price_in_wei = 30 * 10**6
-    return hex(gas_price_in_wei)
+    """
+    Estimate gas for a transaction using Hardhat service.
+    Falls back to a default value if the estimation fails.
+    """
+    fallback_gas_estimate = 30 * 10**6
+
+    try:
+        web3 = HardhatConfig.get_web3_instance()
+        tx_params = {}
+        if isinstance(data, dict):
+            if "from" in data:
+                tx_params["from"] = data["from"]
+            if "to" in data:
+                tx_params["to"] = data["to"]
+            # Handle both 'data' and 'input' fields (some clients use 'input' instead of 'data')
+            if "data" in data:
+                tx_params["data"] = data["data"]
+            elif "input" in data:
+                tx_params["data"] = data["input"]
+            if "value" in data:
+                tx_params["value"] = (
+                    int(data["value"], 16)
+                    if isinstance(data["value"], str)
+                    else data["value"]
+                )
+        if tx_params:
+            gas_estimate = web3.eth.estimate_gas(tx_params)
+            return hex(gas_estimate)
+        else:
+            return hex(fallback_gas_estimate)
+
+    except Exception:
+        return hex(fallback_gas_estimate)
 
 
 def get_transaction_receipt(
diff --git a/backend/rollup/consensus_service.py b/backend/rollup/consensus_service.py
index 89033e4ce..e6adaacad 100644
--- a/backend/rollup/consensus_service.py
+++ b/backend/rollup/consensus_service.py
@@ -1,6 +1,4 @@
 import json
-import os
-from web3 import Web3
 from typing import Optional, Dict, Any
 from pathlib import Path
 from hexbytes import HexBytes
@@ -9,6 +7,7 @@
 from backend.rollup.default_contracts.consensus_main import (
     get_default_consensus_main_contract,
 )
+from backend.config.hardhat_config import HardhatConfig
 
 
 class ConsensusService:
@@ -17,10 +16,7 @@ def __init__(self):
         Initialize the ConsensusService class
         """
         # Connect to Hardhat Network
-        port = os.environ.get("HARDHAT_PORT")
-        url = os.environ.get("HARDHAT_URL")
-        hardhat_url = f"{url}:{port}"
-        self.web3 = Web3(Web3.HTTPProvider(hardhat_url))
+        self.web3 = HardhatConfig.get_web3_instance()
 
         self.web3_connected = self.web3.is_connected()
 
diff --git a/tests/db-sqlalchemy/conftest.py b/tests/db-sqlalchemy/conftest.py
index 247c27ecc..41e9c4df9 100644
--- a/tests/db-sqlalchemy/conftest.py
+++ b/tests/db-sqlalchemy/conftest.py
@@ -1,9 +1,12 @@
 import os
 from typing import Iterable
+from unittest.mock import patch, MagicMock
 
 import pytest
 from sqlalchemy import Engine, create_engine
 from sqlalchemy.orm import Session, sessionmaker
+from web3 import Web3
+from web3.providers import BaseProvider
 
 from backend.database_handler.models import Base
 from backend.database_handler.transactions_processor import TransactionsProcessor
@@ -41,4 +44,15 @@ def session(engine: Engine) -> Iterable[Session]:
 
 @pytest.fixture
 def transactions_processor(session: Session) -> Iterable[TransactionsProcessor]:
-    yield TransactionsProcessor(session)
+    # Create a mock Web3 instance with proper provider
+    mock_provider = MagicMock(spec=BaseProvider)
+    web3_instance = Web3(mock_provider)
+    web3_instance.eth = MagicMock()
+    web3_instance.eth.accounts = ["0x0000000000000000000000000000000000000000"]
+
+    # Patch HardhatConfig.get_web3_instance to return our mock
+    with patch(
+        "backend.database_handler.transactions_processor.HardhatConfig.get_web3_instance",
+        return_value=web3_instance,
+    ):
+        yield TransactionsProcessor(session)
diff --git a/tests/db-sqlalchemy/transactions_processor_test.py b/tests/db-sqlalchemy/transactions_processor_test.py
index a6906fe0b..1c2f4494a 100644
--- a/tests/db-sqlalchemy/transactions_processor_test.py
+++ b/tests/db-sqlalchemy/transactions_processor_test.py
@@ -1,20 +1,15 @@
-from sqlalchemy.orm import Session
 import pytest
-from unittest.mock import patch, MagicMock
+from unittest.mock import patch
 import os
 import math
 from datetime import datetime
-from web3 import Web3
-from web3.providers import BaseProvider
 
-from backend.database_handler.chain_snapshot import ChainSnapshot
-from backend.database_handler.models import Transactions
 from backend.database_handler.transactions_processor import TransactionStatus
 from backend.database_handler.transactions_processor import TransactionsProcessor
 
 
 @pytest.fixture(autouse=True)
-def mock_env_and_web3():
+def mock_env():
     with patch.dict(
         os.environ,
         {
@@ -22,15 +17,8 @@ def mock_env_and_web3():
             "HARDHAT_URL": "http://localhost",
             "HARDHAT_PRIVATE_KEY": "0x0123456789",
         },
-    ), patch("web3.Web3.HTTPProvider"):
-        web3_instance = Web3(MagicMock(spec=BaseProvider))
-        web3_instance.eth = MagicMock()
-        web3_instance.eth.accounts = ["0x0000000000000000000000000000000000000000"]
-        with patch(
-            "backend.database_handler.transactions_processor.Web3",
-            return_value=web3_instance,
-        ):
-            yield
+    ):
+        yield
 
 
 def test_transactions_processor(transactions_processor: TransactionsProcessor):
diff --git a/tests/hardhat/docker-compose.yml b/tests/hardhat/docker-compose.yml
index 4d253b435..96fa95381 100644
--- a/tests/hardhat/docker-compose.yml
+++ b/tests/hardhat/docker-compose.yml
@@ -30,4 +30,5 @@ services:
       hardhat:
         condition: service_healthy
     environment:
-      - HARDHAT_URL=http://hardhat:8545
+      - HARDHAT_URL=http://hardhat
+      - HARDHAT_PORT=8545
diff --git a/tests/hardhat/test_hardhat.py b/tests/hardhat/test_hardhat.py
index 093f7bbe3..3879d2648 100644
--- a/tests/hardhat/test_hardhat.py
+++ b/tests/hardhat/test_hardhat.py
@@ -1,7 +1,6 @@
-from web3 import Web3
 import json
 from eth_account import Account
-import os
+from backend.config.hardhat_config import HardhatConfig
 
 
 def test_eth_account():
@@ -41,8 +40,7 @@ def connect_to_hardhat():
     Raises:
         Exception: If the connection to the Hardhat network fails.
     """
-    hardhat_url = os.environ.get("HARDHAT_URL")
-    web3 = Web3(Web3.HTTPProvider(hardhat_url))
+    web3 = HardhatConfig.get_web3_instance()
 
     # Check connection
     if not web3.is_connected():