diff --git a/.babelrc b/.babelrc
index dfb31e1cffff1..ed1dfd7029d02 100644
--- a/.babelrc
+++ b/.babelrc
@@ -1,3 +1,3 @@
 {
-  "stage": 0,
+  "presets": ['react', 'es2015', 'stage-0']
 }
diff --git a/CONTRIBUTING.md b/CONTRIBUTING.md
new file mode 100644
index 0000000000000..168d650d9e678
--- /dev/null
+++ b/CONTRIBUTING.md
@@ -0,0 +1,30 @@
+# Filing an issue
+
+If you want your issue to be resolved quickly, please include in your
+issue:
+
+* Gatsby version, node.js version, OS version
+* The contents of your `gatsby.config.js` and `package.json`.
+
+# Contributing
+You can install the latest `master` version of Gatsby by following these
+simple steps:
+
+* Clone the repo, navigate to its directory.
+* Execute `npm install` to install packages.
+* Execute `npm uninstall -g gatsby && npm link`
+* Use `git pull` to update to latest Gatsby.
+
+Test suite can be run via `npm test`.
+
+The usual contributing steps are:
+
+* Fork the [official repository](https://github.com/gatsbyjs/gatsby).
+* Clone your fork: git clone `git@github.com:<your-username>/gatsby.git`
+* Make sure tests are passing for you: npm install && npm test
+* Create a topic branch: git checkout -b topics/new-feature-name
+* Run `npm run watch` to watch code and compile your changes.
+* Add tests and code for your changes.
+* Once you‘re done, make sure all tests still pass: npm install && npm test
+* Commit and push to your fork.
+* Create an pull request from your branch.
diff --git a/bin/build.js b/bin/build.js
index 936748680beaf..e19ce4aa233e2 100644
--- a/bin/build.js
+++ b/bin/build.js
@@ -1,19 +1,9 @@
-/*eslint-disable */
-var program = require('commander')
-var path = require('path')
+var program = require('commander') // eslint-disable-line no-var
+var path = require('path') // eslint-disable-line no-var
 
-var packageJson = require('../package.json')
-/*eslint-enable */
-
-// Use compiled version of code when installed globally, otherwise use
-// babelscript version.
-var build // eslint-disable-line no-var
+var packageJson = require('../package.json') // eslint-disable-line no-var
+var build = require('../dist/utils/build') // eslint-disable-line no-var
 var relativeDirectory // eslint-disable-line no-var
-if (require('./published')) {
-  build = require('../dist/utils/build')
-} else {
-  build = require('../lib/utils/build')
-}
 
 program
   .version(packageJson.version)
diff --git a/bin/develop.js b/bin/develop.js
index dd8281756453d..91feb3ad6f247 100644
--- a/bin/develop.js
+++ b/bin/develop.js
@@ -1,26 +1,20 @@
-/*eslint-disable */
-var program = require('commander')
-var path = require('path')
+var program = require('commander') // eslint-disable-line no-var
+var path = require('path') // eslint-disable-line no-var
 
-var packageJson = require('../package.json')
+var packageJson = require('../package.json') // eslint-disable-line no-var
+var relativeDirectory // eslint-disable-line no-var
+var develop = require('../dist/utils/develop') // eslint-disable-line no-var
 
-// Use compiled version of code when installed globally, otherwise use
-// babelscript version.
-var develop
-var relativeDirectory
-if (require('./published')) {
-  develop = require('../dist/utils/develop')
-} else {
-  develop = require('../lib/utils/develop')
-}
-
-var defaultHost = process.platform === 'win32'
+var defaultHost = process.platform === 'win32' // eslint-disable-line no-var
   ? 'localhost'
   : '0.0.0.0'
 
 program
   .version(packageJson.version)
-  .option('-h, --host <url>', 'Set host. Defaults to ' + defaultHost, defaultHost)
+  .option('-h, --host <url>',
+          'Set host. Defaults to ' + defaultHost, // eslint-disable-line prefer-template
+          defaultHost
+         )
   .option('-p, --port <port>', 'Set port. Defaults to 8000', '8000')
   .parse(process.argv)
 
@@ -34,4 +28,3 @@ program.directory = directory
 program.relativeDirectory = relativeDirectory
 
 develop(program)
-/*eslint-enable */
diff --git a/bin/gatsby-build.js b/bin/gatsby-build.js
index 241bb8facc6fe..067e8e8cfb027 100755
--- a/bin/gatsby-build.js
+++ b/bin/gatsby-build.js
@@ -1,4 +1,4 @@
 #!/usr/bin/env node
 
-require('babel/register')
+require('babel-core/register')
 require('./build')
diff --git a/bin/gatsby-develop.js b/bin/gatsby-develop.js
index 9bd972c8b9b60..3744fd1d3bbe7 100755
--- a/bin/gatsby-develop.js
+++ b/bin/gatsby-develop.js
@@ -1,4 +1,4 @@
 #!/usr/bin/env node
 
-require('babel/register')
+require('babel-core/register')
 require('./develop')
diff --git a/bin/gatsby-new.js b/bin/gatsby-new.js
index 29a7347f84f82..e8ad672a26c84 100755
--- a/bin/gatsby-new.js
+++ b/bin/gatsby-new.js
@@ -1,4 +1,4 @@
 #!/usr/bin/env node
 
-require('babel/register')
+require('babel-core/register')
 require('./new')
diff --git a/bin/gatsby.js b/bin/gatsby.js
index a0b9b514c11ac..4304dfe5ac55e 100755
--- a/bin/gatsby.js
+++ b/bin/gatsby.js
@@ -1,4 +1,4 @@
 #!/usr/bin/env node
 
-require('babel/register')
+require('babel-core/register')
 require('./index')
diff --git a/bin/new.js b/bin/new.js
index b01c1151875f7..322d3001cefde 100644
--- a/bin/new.js
+++ b/bin/new.js
@@ -1,20 +1,10 @@
-/*eslint-disable */
-var program = require('commander')
-var loggy = require('loggy')
+var program = require('commander') // eslint-disable-line no-var
+var loggy = require('loggy') // eslint-disable-line no-var
 
-var packageJson = require('../package.json')
-/*eslint-enable */
-
-// Use compiled version of code when installed globally, otherwise use
-// babelscript version.
-var initStarter // eslint-disable-line no-var
+var packageJson = require('../package.json') // eslint-disable-line no-var
 var rootPath // eslint-disable-line no-var
 var starter // eslint-disable-line no-var
-if (require('./published')) {
-  initStarter = require('../dist/utils/init-starter')
-} else {
-  initStarter = require('../lib/utils/init-starter')
-}
+var initStarter = require('../dist/utils/init-starter') // eslint-disable-line no-var
 
 program
   .version(packageJson.version)
diff --git a/lib/utils/babel-exclude-test.js b/lib/utils/babel-exclude-test.js
deleted file mode 100644
index 6448f91a8d61e..0000000000000
--- a/lib/utils/babel-exclude-test.js
+++ /dev/null
@@ -1,23 +0,0 @@
-import published from '../../bin/published'
-
-const libDirs = /(node_modules|bower_components)/i
-let gatsbyLib = /(gatsby.lib)/i
-// If installed globally, look for "dist" directory instead.
-if (published) {
-  gatsbyLib = /(gatsby.dist)/i
-}
-
-export default (absPath) => {
-  let result = false
-  if (absPath.match(gatsbyLib)) {
-    // There is a match, don't exclude this file.
-    result = false
-  } else if (absPath.match(libDirs)) {
-    // There is a match, do exclude this file.
-    result = true
-  } else {
-    result = false
-  }
-
-  return result
-}
diff --git a/lib/utils/develop.js b/lib/utils/develop.js
index a6c71537b3e35..4e89f9fe04f1b 100644
--- a/lib/utils/develop.js
+++ b/lib/utils/develop.js
@@ -8,27 +8,16 @@ import Negotiator from 'negotiator'
 import parsePath from 'parse-filepath'
 import find from 'lodash/find'
 import webpackRequire from 'webpack-require'
-import fs from 'fs'
-import toml from 'toml'
 import WebpackPlugin from 'hapi-webpack-plugin'
 
 import getUserGatsbyConfig from './get-user-gatsby-config'
 import globPages from './glob-pages'
 import webpackConfig from './webpack.config'
 const debug = require('debug')('gatsby:application')
-import babelExcludeTest from './babel-exclude-test'
 
 module.exports = (program) => {
   const directory = program.directory
 
-  // Read in site config.
-  let siteConfig
-  try {
-    siteConfig = toml.parse(fs.readFileSync(`${directory}/config.toml`))
-  } catch (e) {
-    console.log("Couldn't load your site config", e)
-  }
-
   // Load pages for the site.
   return globPages(directory, (err, pages) => {
     const compilerConfig = webpackConfig(program, directory, 'develop', program.port)
@@ -44,15 +33,19 @@ module.exports = (program) => {
     htmlCompilerConfig.removeLoader('js')
     htmlCompilerConfig.loader('js', {
       test: /\.jsx?$/, // Accept either .js or .jsx files.
-      exclude: babelExcludeTest,
+      exclude: /(node_modules|bower_components)/,
       loader: 'babel',
+      query: {
+        presets: ['react', 'es2015', 'stage-1'],
+        plugins: ['add-module-exports'],
+      },
     })
 
     const htmlConfig = getUserGatsbyConfig(htmlCompilerConfig, 'develop')
 
     webpackRequire(htmlConfig.resolve(), require.resolve(HTMLPath), (error, factory) => {
       if (error) {
-        console.log(`Failed to require ${directory}/html.jsx`)
+        console.log(`Failed to require ${directory}/html.js`)
         error.forEach((e) => {
           console.log(e)
         })
@@ -79,8 +72,7 @@ module.exports = (program) => {
           try {
             const htmlElement = React.createElement(
               HTML, {
-                pages,
-                config: siteConfig,
+                body: '',
               }
             )
             let html = ReactDOMServer.renderToStaticMarkup(htmlElement)
diff --git a/lib/utils/static-entry.js b/lib/utils/static-entry.js
index 09c9f6fd051ad..7d188e10fd7c7 100644
--- a/lib/utils/static-entry.js
+++ b/lib/utils/static-entry.js
@@ -29,7 +29,7 @@ module.exports = (locals, callback) => {
       }
 
       const html = `<!DOCTYPE html>\n ${renderToStaticMarkup(
-          <HTML config={config} body={body} {...renderProps} />
+        <HTML body={body} {...renderProps} />
       )}`
       callback(null, html)
     }
diff --git a/lib/utils/webpack.config.js b/lib/utils/webpack.config.js
index 74d327afaca58..661e57f748ba9 100644
--- a/lib/utils/webpack.config.js
+++ b/lib/utils/webpack.config.js
@@ -3,7 +3,6 @@ import StaticSiteGeneratorPlugin from 'static-site-generator-webpack-plugin'
 import ExtractTextPlugin from 'extract-text-webpack-plugin'
 import Config from 'webpack-configurator'
 const debug = require('debug')('gatsby:webpack-config')
-import babelExcludeTest from './babel-exclude-test'
 
 module.exports = (program, directory, stage, webpackPort = 1500, routes = []) => {
   debug(`Loading webpack config for stage "${stage}"`)
@@ -141,8 +140,11 @@ module.exports = (program, directory, stage, webpackPort = 1500, routes = []) =>
     })
     config.loader('js', {
       test: /\.jsx?$/, // Accept either .js or .jsx files.
-      exclude: babelExcludeTest,
-      loaders: ['babel'],
+      exclude: /(node_modules|bower_components)/,
+      loader: 'babel',
+      query: {
+        plugins: ['add-module-exports'],
+      },
     })
     config.loader('coffee', {
       test: /\.coffee$/,
@@ -245,22 +247,11 @@ module.exports = (program, directory, stage, webpackPort = 1500, routes = []) =>
         config.removeLoader('js')
         config.loader('js', {
           test: /\.jsx?$/, // Accept either .js or .jsx files.
-          exclude: babelExcludeTest,
+          exclude: /(node_modules|bower_components)/,
           loader: 'babel',
           query: {
-            plugins: ['react-transform'],
-            extra: {
-              'react-transform': {
-                transforms: [{
-                  transform: 'react-transform-hmr',
-                  imports: ['react'],
-                  locals: ['module'],
-                }, {
-                  transform: 'react-transform-catch-errors',
-                  imports: ['react', 'redbox-react'],
-                }],
-              },
-            },
+            presets: ['react-hmre', 'react', 'es2015', 'stage-1'],
+            plugins: ['add-module-exports'],
           },
         })
         return config
diff --git a/package.json b/package.json
index 39acad04262c8..ccd3fc5ba019d 100644
--- a/package.json
+++ b/package.json
@@ -7,14 +7,17 @@
     "gatsby": "./bin/gatsby.js"
   },
   "bugs": {
-    "url": "https://github.com/gatsby-group/gatsby/issues"
+    "url": "https://github.com/gatsbyjs/gatsby/issues"
   },
   "dependencies": {
     "async": "^1.2.1",
-    "babel": "^5.8.35",
-    "babel-core": "^5.8.35",
-    "babel-loader": "^5.4.0",
-    "babel-plugin-react-transform": "^1.1.1",
+    "babel-core": "^6.7.2",
+    "babel-loader": "^6.2.4",
+    "babel-plugin-add-module-exports": "^0.1.2",
+    "babel-preset-es2015": "^6.6.0",
+    "babel-preset-react": "^6.5.0",
+    "babel-preset-react-hmre": "^1.1.1",
+    "babel-preset-stage-0": "^6.5.0",
     "boom": "^2.7.2",
     "cjsx-loader": "^2.0.1",
     "coffee-loader": "^0.7.2",
@@ -59,9 +62,6 @@
     "react-dom": "^0.14.7",
     "react-hot-loader": "^1.3.0",
     "react-router": "^2.0.0",
-    "react-transform-catch-errors": "^1.0.0",
-    "react-transform-hmr": "^1.0.0",
-    "redbox-react": "^1.0.1",
     "sass-loader": "^3.1.2",
     "scroll-behavior": "^0.3.2",
     "slash": "^1.0.0",
@@ -78,12 +78,13 @@
     "yaml-loader": "^0.1.0"
   },
   "devDependencies": {
-    "babel-eslint": "^5.0.0",
+    "babel-cli": "^6.6.5",
+    "babel-eslint": "^6.0.0",
     "eslint": "^2.4.0",
     "eslint-config-airbnb": "^6.1.0",
     "eslint-plugin-react": "^4.2.1"
   },
-  "homepage": "https://github.com/gatsby-group/gatsby#readme",
+  "homepage": "https://github.com/gatsbyjs/gatsby#readme",
   "keywords": [
     "blog",
     "generator",
@@ -97,10 +98,12 @@
   "main": "index.js",
   "repository": {
     "type": "git",
-    "url": "git+https://github.com/gatsby-group/gatsby.git"
+    "url": "git+https://github.com/gatsbyjs/gatsby.git"
   },
   "scripts": {
-    "lint": "./node_modules/.bin/eslint --ext .js,.jsx --ignore-pattern dist .",
-    "test": "npm run lint"
+    "lint": "eslint --ext .js,.jsx --ignore-pattern dist .",
+    "test": "npm run lint",
+    "watch": "babel -w lib --out-dir dist/",
+    "build": "babel lib --out-dir dist/"
   }
 }
diff --git a/scripts/build.sh b/scripts/build.sh
deleted file mode 100755
index a0d486f275d9b..0000000000000
--- a/scripts/build.sh
+++ /dev/null
@@ -1,2 +0,0 @@
-node_modules/.bin/babel lib/ --out-dir dist
-node_modules/.bin/coffee -co dist/ lib/
diff --git a/scripts/prepublish.sh b/scripts/prepublish.sh
index 51281b74194ab..c23db29bf2411 100755
--- a/scripts/prepublish.sh
+++ b/scripts/prepublish.sh
@@ -1,8 +1,2 @@
 npm test
-./scripts/build.sh
-
-# Write out script so cli knows it's now published and should use the
-# compiled code not Babel src code.
-cat <<EOF >bin/published.js
-module.exports = true
-EOF
+npm run build