diff --git a/python/src/com/jetbrains/python/codeInsight/PyDictKeyNamesCompletionContributor.java b/python/src/com/jetbrains/python/codeInsight/PyDictKeyNamesCompletionContributor.java
index 3ab65a5c3cdf..2f14658369a4 100644
--- a/python/src/com/jetbrains/python/codeInsight/PyDictKeyNamesCompletionContributor.java
+++ b/python/src/com/jetbrains/python/codeInsight/PyDictKeyNamesCompletionContributor.java
@@ -70,13 +70,6 @@ public class PyDictKeyNamesCompletionContributor extends PySeeingOriginalComplet
               }
             }
           }
-          // filter unusable lookup elements
-          dictCompletion.runRemainingContributors(parameters, new Consumer<LookupElement>() {
-            public void consume(final LookupElement lookupElement) {
-              if (lookupElement.getLookupString().equals("dict key"))
-                dictCompletion.addElement(lookupElement);
-            }
-          });
         }
       }
     );
diff --git a/python/testData/completion/localVarInDictKey.after.py b/python/testData/completion/localVarInDictKey.after.py
new file mode 100644
index 000000000000..36099b4f8f74
--- /dev/null
+++ b/python/testData/completion/localVarInDictKey.after.py
@@ -0,0 +1,8 @@
+ENCODINGS = {}
+
+class C:
+    def foo(self):
+        if self.id[0] == 'T':
+            encoding = ord(self.rawData[0])
+            if 0 <= encoding < len(ENCODINGS):
+                value = self.rawData[1:].decode(ENCODINGS[encoding])
\ No newline at end of file
diff --git a/python/testData/completion/localVarInDictKey.py b/python/testData/completion/localVarInDictKey.py
new file mode 100644
index 000000000000..676c5e459a1e
--- /dev/null
+++ b/python/testData/completion/localVarInDictKey.py
@@ -0,0 +1,8 @@
+ENCODINGS = {}
+
+class C:
+    def foo(self):
+        if self.id[0] == 'T':
+            encoding = ord(self.rawData[0])
+            if 0 <= encoding < len(ENCODINGS):
+                value = self.rawData[1:].decode(ENCODINGS[enc<caret>])
\ No newline at end of file
diff --git a/python/testSrc/com/jetbrains/python/PythonCompletionTest.java b/python/testSrc/com/jetbrains/python/PythonCompletionTest.java
index 578906694157..54c61f7f671b 100644
--- a/python/testSrc/com/jetbrains/python/PythonCompletionTest.java
+++ b/python/testSrc/com/jetbrains/python/PythonCompletionTest.java
@@ -247,4 +247,8 @@ public class PythonCompletionTest extends PyLightFixtureTestCase {
   public void testElseInCondExpr() {  // PY-2397
     doTest();
   }
+
+  public void testLocalVarInDictKey() {  // PY-2558
+    doTest();
+  }
 }