diff --git a/Text/XML/Expat/Chunked.hs b/Text/XML/Expat/Chunked.hs
--- a/Text/XML/Expat/Chunked.hs
+++ b/Text/XML/Expat/Chunked.hs
@@ -172,7 +172,7 @@
       -> (forall s . ListT (XMLT s m) (Node s m tag text) -> XMLT s m a)   -- ^ Handler for parsed tree
       -> m (IterateeG WrappedByteString Word8 m (Either ErrMsg a))
 parse opts handler = do
-    let enc = defaultEncoding opts
+    let enc = overrideEncoding opts
 
     parser <- liftIO $ IO.newParser enc
 
diff --git a/hexpat-iteratee.cabal b/hexpat-iteratee.cabal
--- a/hexpat-iteratee.cabal
+++ b/hexpat-iteratee.cabal
@@ -1,6 +1,6 @@
 Cabal-Version: >= 1.6
 Name: hexpat-iteratee
-Version: 0.5
+Version: 0.6
 Synopsis: Chunked XML parsing using iteratees
 Description:
   This package provides chunked XML parsing using iteratees.  It is especially suited
@@ -51,7 +51,7 @@
     containers,
     extensible-exceptions >= 0.1 && < 0.2,
     iteratee == 0.3.*,
-    hexpat >= 0.17,
+    hexpat >= 0.18,
     List >= 0.4
   Exposed-Modules:
     Text.XML.Expat.Chunked