diff --git a/application.py b/application.py
index 934f5d3..2a62692 100755
--- a/application.py
+++ b/application.py
@@ -1111,8 +1111,6 @@ if __name__ == "__main__":
                       help='open arguments in MODE')
     parser.add_option('-x', '--exec', action='callback', callback=exec_cb,
                       type='string', metavar='CMD', help='run CMD after launching')
-    parser.add_option('-T', '--term', dest='term', metavar='TYPE',
-                      help='force pmacs to use TERM=TYPE')
 
     (opts, args) = parser.parse_args(argv)
 
@@ -1121,8 +1119,8 @@ if __name__ == "__main__":
         mode.DEBUG = True
 
     # override $TERM if we need to
-    if opts.term:
-        os.putenv('TERM', opts.term)
+    if os.getenv('PMC_TERM'):
+        os.putenv('TERM', os.getenv('PMC_TERM'))
 
     # if -b but no -m, then use -m hex
     if opts.binary and not opts.mode: