diff --git a/src/plugins/intel_npu/src/al/include/intel_npu/config/options.hpp b/src/plugins/intel_npu/src/al/include/intel_npu/config/options.hpp
index 1976b3ebfbcf49..d8fdae9d9066b4 100644
--- a/src/plugins/intel_npu/src/al/include/intel_npu/config/options.hpp
+++ b/src/plugins/intel_npu/src/al/include/intel_npu/config/options.hpp
@@ -845,7 +845,9 @@ struct COMPILER_TYPE final : OptionBase<COMPILER_TYPE, ov::intel_npu::CompilerTy
     }
 
     static ov::intel_npu::CompilerType parse(std::string_view val) {
-        if (val == "MLIR") {
+        if (val == "PLUGIN") {
+            return ov::intel_npu::CompilerType::PLUGIN;
+        } else if (val == "MLIR") {
             return ov::intel_npu::CompilerType::MLIR;
         } else if (val == "DRIVER") {
             return ov::intel_npu::CompilerType::DRIVER;
@@ -856,7 +858,9 @@ struct COMPILER_TYPE final : OptionBase<COMPILER_TYPE, ov::intel_npu::CompilerTy
 
     static std::string toString(const ov::intel_npu::CompilerType& val) {
         std::stringstream strStream;
-        if (val == ov::intel_npu::CompilerType::MLIR) {
+        if (val == ov::intel_npu::CompilerType::PLUGIN) {
+            strStream << "PLUGIN";
+        } else if (val == ov::intel_npu::CompilerType::MLIR) {
             strStream << "MLIR";
         } else if (val == ov::intel_npu::CompilerType::DRIVER) {
             strStream << "DRIVER";
diff --git a/src/plugins/intel_npu/src/al/include/intel_npu/npu_private_properties.hpp b/src/plugins/intel_npu/src/al/include/intel_npu/npu_private_properties.hpp
index c485af1e0a3d1a..deef6df02d1733 100644
--- a/src/plugins/intel_npu/src/al/include/intel_npu/npu_private_properties.hpp
+++ b/src/plugins/intel_npu/src/al/include/intel_npu/npu_private_properties.hpp
@@ -85,11 +85,11 @@ inline std::ostream& operator<<(std::ostream& out, const ColorFormat& fmt) {
 
 /**
  * @brief [Only for NPU Plugin]
- * Type: string, default is MLIR.
+ * Type: string, default is MLIR / PLUGIN.
  * Type of NPU compiler to be used for compilation of a network
  * @note Configuration API v 2.0
  */
-enum class CompilerType { MLIR, DRIVER };
+enum class CompilerType { PLUGIN, MLIR, DRIVER };
 
 /**
  * @brief Prints a string representation of ov::intel_npu::CompilerType to a stream
@@ -100,6 +100,9 @@ enum class CompilerType { MLIR, DRIVER };
  */
 inline std::ostream& operator<<(std::ostream& out, const CompilerType& fmt) {
     switch (fmt) {
+    case CompilerType::PLUGIN: {
+        out << "PLUGIN";
+    } break;
     case CompilerType::MLIR: {
         out << "MLIR";
     } break;
diff --git a/src/plugins/intel_npu/src/backend/src/zero_pipeline.cpp b/src/plugins/intel_npu/src/backend/src/zero_pipeline.cpp
index fd79939bcfcac1..c2a0659c4fbac7 100644
--- a/src/plugins/intel_npu/src/backend/src/zero_pipeline.cpp
+++ b/src/plugins/intel_npu/src/backend/src/zero_pipeline.cpp
@@ -261,7 +261,8 @@ std::vector<ov::ProfilingInfo> Pipeline::get_profiling_info() const {
         return _npu_profiling->getNpuInferStatistics();
     }
     /// PROFILING_TYPE = MODEL or undefined = fallback to model profiling
-    if (_config.get<COMPILER_TYPE>() == ov::intel_npu::CompilerType::MLIR) {
+    if (_config.get<COMPILER_TYPE>() == ov::intel_npu::CompilerType::MLIR ||
+        _config.get<COMPILER_TYPE>() == ov::intel_npu::CompilerType::PLUGIN) {
         // For plugin compiler retreive raw profiling data from backend and delegate
         // processing to the compiler
         _logger.debug("InferRequest::get_profiling_info complete with compiler->process_profiling_output().");
diff --git a/src/plugins/intel_npu/src/compiler_adapter/include/compiler_adapter_factory.hpp b/src/plugins/intel_npu/src/compiler_adapter/include/compiler_adapter_factory.hpp
index a0412f53c84c07..e5c7be11fbf055 100644
--- a/src/plugins/intel_npu/src/compiler_adapter/include/compiler_adapter_factory.hpp
+++ b/src/plugins/intel_npu/src/compiler_adapter/include/compiler_adapter_factory.hpp
@@ -17,7 +17,8 @@ class CompilerAdapterFactory final {
     std::unique_ptr<ICompilerAdapter> getCompiler(const ov::SoPtr<IEngineBackend>& engineBackend,
                                                   const ov::intel_npu::CompilerType type) const {
         switch (type) {
-        case ov::intel_npu::CompilerType::MLIR: {
+        case ov::intel_npu::CompilerType::MLIR:
+        case ov::intel_npu::CompilerType::PLUGIN: {
             if (engineBackend == nullptr || engineBackend->getName() != "LEVEL0") {
                 return std::make_unique<PluginCompilerAdapter>(nullptr);
             }
diff --git a/src/plugins/intel_npu/src/compiler_adapter/src/plugin_compiler_adapter.cpp b/src/plugins/intel_npu/src/compiler_adapter/src/plugin_compiler_adapter.cpp
index 1a3a1a51ac6751..0b273e9a3df691 100644
--- a/src/plugins/intel_npu/src/compiler_adapter/src/plugin_compiler_adapter.cpp
+++ b/src/plugins/intel_npu/src/compiler_adapter/src/plugin_compiler_adapter.cpp
@@ -70,7 +70,7 @@ PluginCompilerAdapter::PluginCompilerAdapter(const std::shared_ptr<ZeroInitStruc
       _logger("PluginCompilerAdapter", Logger::global().level()) {
     _logger.debug("initialize PluginCompilerAdapter start");
 
-    _logger.info("MLIR compiler will be used.");
+    _logger.info("PLUGIN (MLIR) compiler will be used.");
     std::string baseName = "npu_mlir_compiler";
     auto libPath = ov::util::make_plugin_library_name(ov::util::get_ov_lib_path(), baseName + OV_BUILD_POSTFIX);
     _compiler = load_compiler(libPath);
diff --git a/src/plugins/intel_npu/src/plugin/src/plugin.cpp b/src/plugins/intel_npu/src/plugin/src/plugin.cpp
index a40740e5e9c748..15279e2573fa26 100644
--- a/src/plugins/intel_npu/src/plugin/src/plugin.cpp
+++ b/src/plugins/intel_npu/src/plugin/src/plugin.cpp
@@ -577,8 +577,8 @@ std::shared_ptr<ov::ICompiledModel> Plugin::compile_model(const std::shared_ptr<
     const auto set_cache_dir = localConfig.get<CACHE_DIR>();
     if (!set_cache_dir.empty()) {
         const auto compilerType = localConfig.get<COMPILER_TYPE>();
-        if (compilerType == ov::intel_npu::CompilerType::MLIR) {
-            OPENVINO_THROW("Option 'CACHE_DIR' is not supported with MLIR compiler type");
+        if (compilerType == ov::intel_npu::CompilerType::MLIR || compilerType == ov::intel_npu::CompilerType::PLUGIN) {
+            OPENVINO_THROW("Option 'CACHE_DIR' is not supported with PLUGIN (MLIR) compiler type");
         }
     }