diff --git a/opencl_fdfd/VERSION.py b/opencl_fdfd/VERSION.py
new file mode 100644
index 0000000..9fa1853
--- /dev/null
+++ b/opencl_fdfd/VERSION.py
@@ -0,0 +1,4 @@
+""" VERSION defintion. THIS FILE IS MANUALLY PARSED BY setup.py and REQUIRES A SPECIFIC FORMAT """
+__version__ = '''
+0.3
+'''.strip()
diff --git a/opencl_fdfd/__init__.py b/opencl_fdfd/__init__.py
index 927f5e2..311bdd0 100644
--- a/opencl_fdfd/__init__.py
+++ b/opencl_fdfd/__init__.py
@@ -41,4 +41,5 @@ from .main import cg_solver
 
 __author__ = 'Jan Petykiewicz'
 
-version = '0.3'
+from .VERSION import __version__
+version = __version__
diff --git a/setup.py b/setup.py
index 0c18709..68dfeb8 100644
--- a/setup.py
+++ b/setup.py
@@ -5,8 +5,11 @@ from setuptools import setup, find_packages
 with open('README.md', 'r') as f:
     long_description = f.read()
 
+with open('opencl_fdfd/VERSION.py', 'rt') as f:
+    version = f.readlines()[2].strip()
+
 setup(name='opencl_fdfd',
-      version='0.3',
+      version=version,
       description='OpenCL FDFD solver',
       long_description=long_description,
       long_description_content_type='text/markdown',