diff --git a/doc/module-system/module-system.chapter.md b/doc/module-system/module-system.chapter.md
index 0c91012eebb4..8c27aea15ffc 100644
--- a/doc/module-system/module-system.chapter.md
+++ b/doc/module-system/module-system.chapter.md
@@ -115,3 +115,46 @@ A nominal type marker, always `"configuration"`.
 #### `class` {#module-system-lib-evalModules-return-value-_configurationClass}
 
 The [`class` argument](#module-system-lib-evalModules-param-class).
+
+## Module arguments {#module-system-module-arguments}
+
+Module arguments are the attribute values passed to modules when they are evaluated.
+
+They originate from these sources:
+1. Built-in arguments
+    - `lib`,
+    - `config`,
+    - `options`,
+    - `_class`,
+    - `_prefix`,
+2. Attributes from the [`specialArgs`] argument passed to [`evalModules`] or `submoduleWith`. These are application-specific.
+3. Attributes from the `_module.args` option value. These are application-specific and can be provided by any module.
+
+The prior two categories are available while evaluating the `imports`, whereas
+the last category is only available after the `imports` have been resolved.
+
+[`lib`]{#module-system-module-argument-lib} [🔗](#module-system-module-argument-lib)
+: A reference to the Nixpkgs library.
+
+[`config`]{#module-system-module-argument-config} [🔗](#module-system-module-argument-config)
+: All option values.
+  Unlike the `evalModules` [`config` return attribute](#module-system-lib-evalModules-return-value-config), this includes `_module`.
+
+[`options`]{#module-system-module-argument-options} [🔗](#module-system-module-argument-options)
+: All evaluated option declarations.
+
+[`_class`]{#module-system-module-argument-_class} [🔗](#module-system-module-argument-_class)
+: The [expected class](#module-system-lib-evalModules-param-class) of the loaded modules.
+
+[`_prefix`]{#module-system-module-argument-_prefix} [🔗](#module-system-module-argument-_prefix)
+: The location under which the module is evaluated.
+  This is used to improve error reporting and to find the implicit `name` module argument in submodules.
+  It is exposed as a module argument due to how the module system is implemented, which cannot be avoided without breaking compatibility.
+
+  It is a good practice not to rely on `_prefix`. A module should not make assumptions about its location in the configuration tree.
+  For example, the root of a NixOS configuration may have a non-empty prefix, for example when it is a specialisation, or when it is part of a larger, multi-host configuration such as a [NixOS test](https://nixos.org/manual/nixos/unstable/#sec-nixos-tests).
+  Instead of depending on `_prefix` use explicit options, whose default definitions can be provided by the module that imports them.
+
+<!-- markdown link aliases -->
+[`evalModules`]: #module-system-lib-evalModules
+[`specialArgs`]: #module-system-lib-evalModules-param-specialArgs
diff --git a/doc/redirects.json b/doc/redirects.json
index 7fb27ab4ced1..4175d8ef4c91 100644
--- a/doc/redirects.json
+++ b/doc/redirects.json
@@ -4515,5 +4515,23 @@
   ],
   "sec-interop.cylonedx-fod": [
     "index.html#sec-interop.cylonedx-fod"
+  ],
+  "module-system-module-argument-_prefix": [
+    "index.html#module-system-module-argument-_prefix"
+  ],
+  "module-system-module-argument-lib": [
+    "index.html#module-system-module-argument-lib"
+  ],
+  "module-system-module-argument-config": [
+    "index.html#module-system-module-argument-config"
+  ],
+  "module-system-module-arguments": [
+    "index.html#module-system-module-arguments"
+  ],
+  "module-system-module-argument-_class": [
+    "index.html#module-system-module-argument-_class"
+  ],
+  "module-system-module-argument-options": [
+    "index.html#module-system-module-argument-options"
   ]
 }
diff --git a/lib/modules.nix b/lib/modules.nix
index d6061ec6d039..23ee8201f7c5 100644
--- a/lib/modules.nix
+++ b/lib/modules.nix
@@ -258,6 +258,7 @@ let
                     specialArgs
                     ;
                   _class = class;
+                  _prefix = prefix;
                 }
                 // specialArgs
               );
@@ -388,6 +389,7 @@ let
                 value = m;
                 _type = m._type;
                 expectedClass = class;
+                prefix = args._prefix;
               }
             )
         else if isList m then
@@ -1976,6 +1978,10 @@ let
           file != null && file != unknownModule
         ) ", while trying to load a module into ${toString file}";
 
+      into_prefix_maybe =
+        prefix:
+        optionalString (prefix != [ ]) ", while trying to load a module into ${code (showOption prefix)}";
+
       /**
         Format text with one line break between each list item.
       */
@@ -2023,12 +2029,13 @@ let
           value,
           _type,
           expectedClass ? null,
+          prefix,
         }:
         paragraphs (
           [
             ''
-              Expected a module, but found a value of type ${warn (escapeNixString _type)}${into_fallback_file_maybe fallbackFile}.
-              A module is typically loaded by adding it the ${code "imports = [ ... ];"} attribute of an existing module, or in the ${code "modules = [ ... ];"} argument of various functions.
+              Expected a module, but found a value of type ${warn (escapeNixString _type)}${into_fallback_file_maybe fallbackFile}${into_prefix_maybe prefix}.
+              A module is typically loaded by adding it to the ${code "imports = [ ... ];"} attribute of an existing module, or in the ${code "modules = [ ... ];"} argument of various functions.
               Please make sure that each of the list items is a module, and not a different kind of value.
             ''
           ]
@@ -2057,7 +2064,7 @@ let
                 '')
               ]
               ++ optionalMatch {
-                # We'll no more than 5 custom suggestions here.
+                # We'll add no more than 5 custom suggestions here.
                 # Please switch to `.modules.${class}` in your Module System application.
                 "nixos" = trim ''
                   or
diff --git a/lib/tests/modules.sh b/lib/tests/modules.sh
index 3b19c8c63f26..dac8b0e33676 100755
--- a/lib/tests/modules.sh
+++ b/lib/tests/modules.sh
@@ -364,6 +364,9 @@ checkConfigOutput '^"submodule"$' options.submodule.type.description ./declare-s
 ## Paths should be allowed as values and work as expected
 checkConfigOutput '^true$' config.submodule.enable ./declare-submoduleWith-path.nix
 
+## _prefix module argument is available at import time and contains the prefix
+checkConfigOutput '^true$' config.foo.ok ./prefix-module-argument.nix
+
 ## deferredModule
 # default module is merged into nodes.foo
 checkConfigOutput '"beta"' config.nodes.foo.settingsDict.c ./deferred-module.nix
@@ -615,6 +618,7 @@ checkConfigError 'Expected a module, but found a value of type .*"flake".*, whil
 checkConfigOutput '^true$' config.enable ./declare-enable.nix ./define-enable-with-top-level-mkIf.nix
 checkConfigError 'Expected a module, but found a value of type .*"configuration".*, while trying to load a module into .*/import-configuration.nix.' config ./import-configuration.nix
 checkConfigError 'please only import the modules that make up the configuration' config ./import-configuration.nix
+checkConfigError 'Expected a module, but found a value of type "configuration", while trying to load a module into .*/import-error-submodule.nix, while trying to load a module into .*foo.*\.' config.foo ./import-error-submodule.nix
 
 # doRename works when `warnings` does not exist.
 checkConfigOutput '^1234$' config.c.d.e ./doRename-basic.nix
diff --git a/lib/tests/modules/import-error-submodule.nix b/lib/tests/modules/import-error-submodule.nix
new file mode 100644
index 000000000000..d2237c58bb5a
--- /dev/null
+++ b/lib/tests/modules/import-error-submodule.nix
@@ -0,0 +1,18 @@
+{ lib, ... }:
+let
+  myconf = lib.evalModules { modules = [ { } ]; };
+in
+{
+  options.foo = lib.mkOption {
+    type = lib.types.submodule { };
+    default = { };
+  };
+  config.foo =
+    { ... }:
+    {
+      imports = [
+        # error, like `import-configuration.nix`, but in a submodule this time
+        myconf
+      ];
+    };
+}
diff --git a/lib/tests/modules/prefix-module-argument.nix b/lib/tests/modules/prefix-module-argument.nix
new file mode 100644
index 000000000000..2cb854341a22
--- /dev/null
+++ b/lib/tests/modules/prefix-module-argument.nix
@@ -0,0 +1,17 @@
+{ lib, ... }:
+{
+  options.foo = lib.mkOption {
+    type = lib.types.submodule { };
+    default = { };
+  };
+
+  config = {
+    foo =
+      { _prefix, ... }:
+      assert _prefix == [ "foo" ];
+      {
+        options.ok = lib.mkOption { };
+        config.ok = true;
+      };
+  };
+}