diff --git a/tests_e2e/orchestrator/lib/agent_test_suite.py b/tests_e2e/orchestrator/lib/agent_test_suite.py
index 38274db743..0c95daf60f 100644
--- a/tests_e2e/orchestrator/lib/agent_test_suite.py
+++ b/tests_e2e/orchestrator/lib/agent_test_suite.py
@@ -274,57 +274,81 @@ def _setup_node(self) -> None:
         log.info("************************************** [Node Setup] **************************************")
         log.info("")
         log.info("Test Node: %s", self.context.vm.name)
+        log.info("IP Address: %s", self.context.vm_ip_address)
         log.info("Resource Group: %s", self.context.vm.resource_group)
         log.info("")
 
-        self.context.ssh_client.run_command("mkdir -p ~/bin/tests_e2e/tests; touch ~/bin/agent-env")
-
-        # Copy the test tools
-        tools_path = self.context.test_source_directory/"orchestrator"/"scripts"
-        tools_target_path = Path("~/bin")
-        log.info("Copying %s to %s:%s", tools_path, self.context.node.name, tools_target_path)
-        self.context.ssh_client.copy_to_node(tools_path, tools_target_path, recursive=True)
-
-        # Copy the test libraries
-        lib_path = self.context.test_source_directory/"tests"/"lib"
-        lib_target_path = Path("~/bin/tests_e2e/tests")
-        log.info("Copying %s to %s:%s", lib_path, self.context.node.name, lib_target_path)
-        self.context.ssh_client.copy_to_node(lib_path, lib_target_path, recursive=True)
-
-        # Copy the test agent
-        agent_package_path: Path = self._get_agent_package_path()
-        agent_package_target_path = Path("~/bin")/agent_package_path.name
-        log.info("Copying %s to %s:%s", agent_package_path, self.context.node.name, agent_package_target_path)
-        self.context.ssh_client.copy_to_node(agent_package_path, agent_package_target_path)
-
-        # Copy Pypy
-        # NOTE: Pypy is pre-downloaded to /tmp on the container image used for Azure Pipelines runs. For dev runs,
-        #       if we don't find Pypy under /tmp, then we download it a few lines below.
+        #
+        # Ensure that the correct version (x84 vs ARM64) Pypy has been downloaded; it is pre-downloaded to /tmp on the container image
+        # used for Azure Pipelines runs, but for developer runs it may need to be downloaded.
+        #
         if self.context.ssh_client.get_architecture() == "aarch64":
             pypy_path = Path("/tmp/pypy3.7-arm64.tar.bz2")
             pypy_download = "https://downloads.python.org/pypy/pypy3.7-v7.3.5-aarch64.tar.bz2"
         else:
             pypy_path = Path("/tmp/pypy3.7-x64.tar.bz2")
             pypy_download = "https://downloads.python.org/pypy/pypy3.7-v7.3.5-linux64.tar.bz2"
-
-        if not pypy_path.exists():
+        if pypy_path.exists():
+            log.info("Found Pypy at %s", pypy_path)
+        else:
             log.info("Downloading %s to %s", pypy_download, pypy_path)
             run_command(["wget", pypy_download, "-O",  pypy_path])
-        pypy_target_path = Path("~/bin/pypy3.7.tar.bz2")
-        log.info("Copying %s to %s:%s", pypy_path, self.context.node.name, pypy_target_path)
-        self.context.ssh_client.copy_to_node(pypy_path, pypy_target_path)
 
-        # Install the tools and libraries
-        install_command = lambda: self.context.ssh_client.run_command(f"~/bin/scripts/install-tools --agent-package {agent_package_target_path}")
-        log.info('Installing tools on the test node\n%s', install_command())
-        log.info('Remote commands will use %s', self.context.ssh_client.run_command("which python3"))
+        #
+        # Create a tarball with the files we need to copy to the test node. The tarball includes two directories:
+        #
+        #     * bin - Executables file (Bash and Python scripts)
+        #     * lib - Library files (Python modules)
+        #
+        # After extracting the tarball on the test node, 'bin' will be added to PATH and PYTHONPATH will be set to 'lib'.
+        #
+        # Note that executables are placed directly under 'bin', while the path for Python modules is preserved under 'lib.
+        #
+        tarball_path: Path = Path("/tmp/waagent.tar")
+        log.info("Creating %s with the files need on the test node", tarball_path)
+        log.info("Adding orchestrator/scripts")
+        run_command(['tar', 'cvf', str(tarball_path), '--transform=s,.*/,bin/,', '-C', str(self.context.test_source_directory/"orchestrator"/"scripts"), '.'])
+        # log.info("Adding tests/scripts")
+        # run_command(['tar', 'rvf', str(tarball_path), '--transform=s,.*/,bin/,', '-C', str(self.context.test_source_directory/"tests"/"scripts"), '.'])
+        log.info("Adding tests/lib")
+        run_command(['tar', 'rvf', str(tarball_path), '--transform=s,^,lib/,', '-C', str(self.context.test_source_directory.parent), '--exclude=__pycache__', 'tests_e2e/tests/lib'])
+        log.info("Contents of %s:\n\n%s", tarball_path, run_command(['tar', 'tvf', str(tarball_path)]))
+
+        #
+        # Cleanup the test node (useful for developer runs)
+        #
+        log.info('Preparing the test node for setup')
+        # Note that removing lib requires sudo, since a Python cache may have been created by tests using sudo
+        self.context.ssh_client.run_command("rm -rvf ~/{bin,lib,tmp}", use_sudo=True)
+
+        #
+        # Copy the tarball, Pypy and the test Agent to the test node
+        #
+        target_path = Path("~")/"tmp"
+        self.context.ssh_client.run_command(f"mkdir {target_path}")
+        log.info("Copying %s to %s:%s", tarball_path, self.context.node.name, target_path)
+        self.context.ssh_client.copy_to_node(tarball_path, target_path)
+        log.info("Copying %s to %s:%s", pypy_path, self.context.node.name, target_path)
+        self.context.ssh_client.copy_to_node(pypy_path, target_path)
+        agent_package_path: Path = self._get_agent_package_path()
+        log.info("Copying %s to %s:%s", agent_package_path, self.context.node.name, target_path)
+        self.context.ssh_client.copy_to_node(agent_package_path, target_path)
+
+        #
+        # Extract the tarball and execute the install scripts
+        #
+        log.info('Installing tools on the test node')
+        command = f"tar xf {target_path/tarball_path.name} && ~/bin/install-tools"
+        log.info("%s\n%s", command, self.context.ssh_client.run_command(command))
 
-        # Install the agent
         if self.context.is_vhd:
             log.info("Using a VHD; will not install the Test Agent.")
         else:
-            install_command = lambda: self.context.ssh_client.run_command(f"install-agent --package {agent_package_target_path} --version {AGENT_VERSION}", use_sudo=True)
-            log.info("Installing the Test Agent on %s\n%s", self.context.node.name, install_command())
+            log.info("Installing the Test Agent on the test node")
+            command = f"install-agent --package ~/tmp/{agent_package_path.name} --version {AGENT_VERSION}"
+            log.info("%s\n%s", command, self.context.ssh_client.run_command(command, use_sudo=True))
+
+        log.info("Completed test node setup")
 
     def _collect_node_logs(self) -> None:
         """
@@ -393,6 +417,8 @@ def _execute(self, environment: Environment, variables: Dict[str, Any]):
                         # pylint seems to think self.context.test_suites is not iterable. Suppressing warning, since its type is List[AgentTestSuite]
                         #  E1133: Non-iterable value self.context.test_suites is used in an iterating context (not-an-iterable)
                         for suite in self.context.test_suites:  # pylint: disable=E1133
+                            log.info("Executing test suite %s", suite.name)
+                            self.context.lisa_log.info("Executing Test Suite %s", suite.name)
                             test_suite_success = self._execute_test_suite(suite) and test_suite_success
 
                         test_suite_success = self._check_agent_log() and test_suite_success
@@ -419,7 +445,7 @@ def _execute(self, environment: Environment, variables: Dict[str, Any]):
                 finally:
                     self._clean_up()
                     if not success:
-                        self._mark_log_as_failed(log_path)
+                        self._mark_log_as_failed()
 
     def _execute_test_suite(self, suite: TestSuiteInfo) -> bool:
         """
@@ -432,7 +458,7 @@ def _execute_test_suite(self, suite: TestSuiteInfo) -> bool:
         success: bool = True  # True if all the tests succeed
 
         with _set_thread_name(suite_full_name):  # The thread name is added to the LISA log
-            log_path:Path = self.context.log_path/f"{suite_full_name}.log"
+            log_path: Path = self.context.log_path/f"{suite_full_name}.log"
             with set_current_thread_log(log_path):
                 try:
                     log.info("")
@@ -447,7 +473,7 @@ def _execute_test_suite(self, suite: TestSuiteInfo) -> bool:
                         test_start_time: datetime.datetime = datetime.datetime.now()
 
                         log.info("******** Executing %s", test_name)
-                        self.context.lisa_log.info("******** Executing %s", test_full_name)
+                        self.context.lisa_log.info("Executing test %s", test_full_name)
 
                         try:
 
@@ -455,7 +481,7 @@ def _execute_test_suite(self, suite: TestSuiteInfo) -> bool:
 
                             summary.append(f"[Passed]  {test_name}")
                             log.info("******** [Passed] %s", test_name)
-                            self.context.lisa_log.info("******** [Passed] %s", test_full_name)
+                            self.context.lisa_log.info("[Passed] %s", test_full_name)
                             self._report_test_result(
                                 suite_full_name,
                                 test_name,
@@ -514,7 +540,7 @@ def _execute_test_suite(self, suite: TestSuiteInfo) -> bool:
                         add_exception_stack_trace=True)
                 finally:
                     if not success:
-                        self._mark_log_as_failed(log_path)
+                        self._mark_log_as_failed()
 
         return success
 
@@ -551,21 +577,17 @@ def _check_agent_log(self) -> bool:
                 log.info("There are no errors in the agent log")
                 return True
 
-            log_path: Path = self.context.log_path/f"CheckAgentLog-{self.context.environment_name}.log"
-            message = f"Detected {len(errors)} error(s) in the agent log. See {log_path} for a full report."
-            self.context.lisa_log.info(message)
-            log.info(message)
-
-            with set_current_thread_log(log_path):
-                log.info("Detected %s error(s) in the agent log:\n\n%s", len(errors), '\n'.join(['\t' + e.text for e in errors]))
-            self._mark_log_as_failed(log_path)
+            message = f"Detected {len(errors)} error(s) in the agent log"
+            self.context.lisa_log.error(message)
+            log.error("%s:\n\n%s\n", message, '\n'.join(['\t\t' + e.text.replace('\n', '\n\t\t') for e in errors]))
+            self._mark_log_as_failed()
 
             self._report_test_result(
                 self.context.environment_name,
                 "CheckAgentLog",
                 TestStatus.FAILED,
                 start_time,
-                message=message + '\n' + '\n'.join([e.text for e in errors[0:3]]))
+                message=message + ' - First few errors:\n' + '\n'.join([e.text for e in errors[0:3]]))
         except:    # pylint: disable=bare-except
             log.exception("Error checking agent log")
             self._report_test_result(
@@ -579,11 +601,11 @@ def _check_agent_log(self) -> bool:
         return False
 
     @staticmethod
-    def _mark_log_as_failed(log_path: Path):
+    def _mark_log_as_failed():
         """
-        Renames the given log to prefix it with "_".
+        Adds a message to indicate the log contains errors.
         """
-        log_path.rename(log_path.parent / ("_" + log_path.name))
+        log.info("MARKER-LOG-WITH-ERRORS")
 
     @staticmethod
     def _report_test_result(
diff --git a/tests_e2e/orchestrator/scripts/check-agent-log.py b/tests_e2e/orchestrator/scripts/check-agent-log.py
index 231e7bcd05..8807f8046a 100755
--- a/tests_e2e/orchestrator/scripts/check-agent-log.py
+++ b/tests_e2e/orchestrator/scripts/check-agent-log.py
@@ -1,4 +1,4 @@
-#!/usr/bin/env python3
+#!/usr/bin/env pypy3
 
 # Microsoft Azure Linux Agent
 #
diff --git a/tests_e2e/orchestrator/scripts/get-agent-path b/tests_e2e/orchestrator/scripts/get-agent-bin-path
similarity index 100%
rename from tests_e2e/orchestrator/scripts/get-agent-path
rename to tests_e2e/orchestrator/scripts/get-agent-bin-path
diff --git a/tests_e2e/orchestrator/scripts/find-python b/tests_e2e/orchestrator/scripts/get-agent-modules-path
similarity index 56%
rename from tests_e2e/orchestrator/scripts/find-python
rename to tests_e2e/orchestrator/scripts/get-agent-modules-path
index b36178e361..5493b96d9a 100755
--- a/tests_e2e/orchestrator/scripts/find-python
+++ b/tests_e2e/orchestrator/scripts/get-agent-modules-path
@@ -18,34 +18,20 @@
 #
 
 #
-# Returns the path to the Python executable.
+# Returns the PYTHONPATH on which the azurelinuxagent and associated modules are located.
+#
+# To do this, the script walks the site packages for the Python used to execute the agent,
+# looking for the directory that contains "azurelinuxagent".
 #
 set -euo pipefail
 
-# python3 is available on most distros
-if which python3 2> /dev/null; then
-  exit 0
-fi
-
-# try python
-if which python 2> /dev/null; then
-  exit 0
-fi
-
-# try some well-known locations
-declare -a known_locations=(
-  "/usr/share/oem/python/bin/python"
-  "/usr/share/oem/python/bin/python3"
-)
-
-for python in "${known_locations[@]}"
-do
-    if [[ -e $python ]]; then
-      echo "$python"
-      exit 0
-    fi
-done
-
-echo "Can't find the python executable" >&2
+$(get-agent-python) -c '
+import site
+import os
 
-exit 1
+for dir in site.getsitepackages():
+  if os.path.isdir(dir + "/azurelinuxagent"):
+    print(dir)
+    exit(0)
+exit(1)
+'
diff --git a/tests_e2e/orchestrator/scripts/get-agent-python b/tests_e2e/orchestrator/scripts/get-agent-python
new file mode 100755
index 0000000000..049732d454
--- /dev/null
+++ b/tests_e2e/orchestrator/scripts/get-agent-python
@@ -0,0 +1,59 @@
+#!/usr/bin/env bash
+
+# Microsoft Azure Linux Agent
+#
+# Copyright 2018 Microsoft Corporation
+#
+# Licensed under the Apache License, Version 2.0 (the "License");
+# you may not use this file except in compliance with the License.
+# You may obtain a copy of the License at
+#
+#     http://www.apache.org/licenses/LICENSE-2.0
+#
+# Unless required by applicable law or agreed to in writing, software
+# distributed under the License is distributed on an "AS IS" BASIS,
+# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+# See the License for the specific language governing permissions and
+# limitations under the License.
+#
+
+#
+# Returns the path of the Python executable used to start the Agent.
+#
+set -euo pipefail
+
+# if the agent is running, get the python command from 'exe' in the /proc file system
+if test -e /run/waagent.pid; then
+  exe="/proc/$(cat /run/waagent.pid)/exe"
+  if test -e "$exe"; then
+    # exe is a symbolic link; return its target
+    readlink -f "$exe"
+    exit 0
+  fi
+fi
+
+# try all the instances of 'python' and 'python3' in $PATH
+for path in $(echo "$PATH" | tr ':' '\n'); do
+  if [[ -e $path ]]; then
+    for python in $(find "$path" -maxdepth 1 -name python3 -or -name python); do
+      if $python -c 'import azurelinuxagent' 2> /dev/null; then
+        echo "$python"
+        exit 0
+      fi
+    done
+  fi
+done
+
+# try some well-known locations
+declare -a known_locations=(
+  "/usr/share/oem/python/bin/python"
+)
+for python in "${known_locations[@]}"
+do
+    if $python -c 'import azurelinuxagent' 2> /dev/null; then
+      echo "$python"
+      exit 0
+    fi
+done
+
+exit 1
diff --git a/tests_e2e/orchestrator/scripts/get-agent-pythonpath b/tests_e2e/orchestrator/scripts/get-agent-pythonpath
deleted file mode 100755
index bc9f0764e4..0000000000
--- a/tests_e2e/orchestrator/scripts/get-agent-pythonpath
+++ /dev/null
@@ -1,74 +0,0 @@
-#!/usr/bin/env bash
-
-# Microsoft Azure Linux Agent
-#
-# Copyright 2018 Microsoft Corporation
-#
-# Licensed under the Apache License, Version 2.0 (the "License");
-# you may not use this file except in compliance with the License.
-# You may obtain a copy of the License at
-#
-#     http://www.apache.org/licenses/LICENSE-2.0
-#
-# Unless required by applicable law or agreed to in writing, software
-# distributed under the License is distributed on an "AS IS" BASIS,
-# WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
-# See the License for the specific language governing permissions and
-# limitations under the License.
-#
-
-#
-# Returns the PYTHONPATH on which the azurelinuxagent and associated modules are located.
-#
-# To do this, the script tries to find the python command used to start the agent and then
-# returns the value of site.getsitepackages().
-#
-set -euo pipefail
-
-find-agent-python() {
-  # if the agent is running, get the python command from 'exe' in the /proc file system
-  if test -e /run/waagent.pid; then
-    exe="/proc/$(cat /run/waagent.pid)/exe"
-    if test -e "$exe"; then
-      # exe is a symbolic link; return its target
-      readlink -f "$exe"
-      return 0
-    fi
-  fi
-
-  # try all the instances of 'python' and 'python3' in $PATH
-  for path in $(echo "$PATH" | tr ':' '\n'); do
-    if [[ -e $path ]]; then
-      for python in $(find "$path" -maxdepth 1 -name python3 -or -name python); do
-        if $python -c 'import azurelinuxagent' 2> /dev/null; then
-          echo "$python"
-          return 0
-        fi
-      done
-    fi
-  done
-
-  # try some well-known locations
-  declare -a known_locations=(
-    "/usr/share/oem/python/bin/python"
-    "/usr/share/oem/python/bin/python3"
-  )
-
-  for python in "${known_locations[@]}"
-  do
-      if $python -c 'import azurelinuxagent' 2> /dev/null; then
-        echo "$python"
-        return 0
-      fi
-  done
-
-
-  return 1
-}
-
-if ! python=$(find-agent-python); then
-  echo "Can't find the python command used to start the agent" >&2
-  exit 1
-fi
-
-$python -c 'import site; print(":".join(site.getsitepackages()))'
diff --git a/tests_e2e/orchestrator/scripts/install-agent b/tests_e2e/orchestrator/scripts/install-agent
index 197f026540..14663d0b8d 100755
--- a/tests_e2e/orchestrator/scripts/install-agent
+++ b/tests_e2e/orchestrator/scripts/install-agent
@@ -73,12 +73,13 @@ fi
 echo "Service name: $service_name"
 
 #
-# Find the path to the Agent's executable file
+# Output the initial version of the agent
 #
-waagent=$(get-agent-path)
+python=$(get-agent-python)
+waagent=$(get-agent-bin-path)
 echo "Agent's path: $waagent"
-$waagent --version
-echo ""
+$python "$waagent" --version
+printf "\n"
 
 #
 # Install the package
@@ -112,7 +113,7 @@ echo "Verifying agent installation..."
 check-version() {
   for i in {0..5}
   do
-    if $waagent --version | grep -E "Goal state agent:\s+$version" > /dev/null; then
+    if $python "$waagent" --version | grep -E "Goal state agent:\s+$version" > /dev/null; then
       return 0
     fi
     sleep 10
@@ -129,7 +130,7 @@ else
   exit_code=1
 fi
 
-$waagent --version
+$python "$waagent" --version
 printf "\n"
 service-status $service_name
 
diff --git a/tests_e2e/orchestrator/scripts/install-tools b/tests_e2e/orchestrator/scripts/install-tools
index 6feb71e530..2e2dd53fb7 100755
--- a/tests_e2e/orchestrator/scripts/install-tools
+++ b/tests_e2e/orchestrator/scripts/install-tools
@@ -25,112 +25,111 @@
 
 set -euo pipefail
 
-usage() (
-    echo "Usage: install-tools -p|--agent-package <path>"
-    exit 1
-)
-
-while [[ $# -gt 0 ]]; do
-    case $1 in
-        -p|--agent-package)
-            shift
-            if [ "$#" -lt 1 ]; then
-                usage
-            fi
-            agent_package=$1
-            shift
-            ;;
-        *)
-            usage
-    esac
-done
-if [ "$#" -ne 0 ] || [ -z ${agent_package+x} ]; then
-    usage
-fi
-
-echo "Installing scripts to ~/bin"
-mv ~/bin/scripts/* ~/bin
-rm -r ~/bin/scripts
 PATH="$HOME/bin:$PATH"
 
-# If the system's Python is <= 3.7, install Pypy and make it the default Python for the user executing the tests
-python=$(~/bin/find-python)
-python_version=$($python -c 'import sys; print("{0:02}.{1:02}".format(sys.version_info[0], sys.version_info[1]))')
-echo "Python: $python ($python_version)"
-if [[ $python_version < "03.07" ]]; then
-  echo "Installing Pypy 3.7 to ~/bin and making it the default Python for user $USER"
-  # bzip2/lbzip2 (used by tar to uncompress *.bz2 files) are not available by default in some distros;
-  # use Python to uncompress the Pypy tarball.
-  $python ~/bin/uncompress.py ~/bin/pypy3.7.tar.bz2 ~/bin/pypy3.7.tar
-  tar xf ~/bin/pypy3.7.tar -C ~/bin
-  rm ~/bin/pypy3.7.tar ~/bin/pypy3.7.tar.bz2
+python=$(get-agent-python)
+echo "Python executable: $python"
+echo "Python version: $($python --version)"
 
-  if [[ -e ~/bin/python ]]; then
-    rm ~/bin/python
-  fi
-  ln -s ~/bin/pypy*/bin/pypy3.7 ~/bin/python
+#
+# Install Pypy as ~/bin/pypy3
+#
+# Note that bzip2/lbzip2 (used by tar to uncompress *.bz2 files) are not available by default in some distros;
+# use Python to uncompress the Pypy tarball.
+#
+echo "Installing Pypy 3.7"
+$python ~/bin/uncompress.py ~/tmp/pypy3.7-*.tar.bz2 ~/tmp/pypy3.7.tar
+tar xf ~/tmp/pypy3.7.tar -C ~/bin
+echo "Pypy was installed in $(ls -d ~/bin/pypy*)"
+ln -s ~/bin/pypy*/bin/pypy3.7 ~/bin/pypy3
+echo "Creating symbolic link to Pypy: ~/bin/pypy3"
 
-  if [[ -e ~/bin/python3 ]]; then
-    rm ~/bin/python3
-  fi
-  ln -s ~/bin/pypy*/bin/pypy3.7 ~/bin/python3
+#
+# The 'distro' and 'platform' modules in Pypy have small differences with the ones in the system's Python.
+# This can create problems in tests that use the get_distro() method in the Agent's 'version.py' module.
+# To work around this, we copy the system's 'distro' module to Pypy.
+#
+# In the case of 'platform', the 'linux_distribution' method was removed on Python 3.7 so we check the
+# system's module and, if the method does not exist, we also remove it from Pypy. Ubuntu 16 and 18 are
+# special cases in that the 'platform' module in Pypy identifies the distro as 'debian'; in this case we
+# copy the system's 'platform' module to Pypy.
+#
+distro_path=$($python -c '
+try:
+    import distro
+except:
+    exit(0)
+print(distro.__file__.replace("__init__.py", "distro.py"))
+exit(0)
+')
+if [[ "$distro_path" != "" ]]; then
+  echo "Copying the system's distro module to Pypy"
+  cp -v "$distro_path" ~/bin/pypy*/site-packages
+else
+  echo "The distro module is not is not installing on the system; skipping."
+fi
 
-  echo "Installing the 'distro' module"
-  python3 -m ensurepip
-  python3 -mpip install -U pip wheel
-  python3 -mpip install distro
+has_linux_distribution=$($python -c 'import platform; print(hasattr(platform, "linux_distribution"))')
+if [[ "$has_linux_distribution" == "False" ]]; then
+  echo "Python does not have platform.linux_distribution; removing it from Pypy"
+  sed -i 's/def linux_distribution(/def __linux_distribution__(/' ~/bin/pypy*/lib-python/3/platform.py
 else
-  # In some distros (e.g. Flatcar), Python is not in PATH; in that case create a symlink under ~/bin
-  if ! which python3 > /dev/null 2>&1; then
-    if [[ ! $python_version < "03.00" ]]; then
-      echo "Python ($python) is not in PATH; creating symbolic links as ~/bin/python and ~/bin/python3"
-      ln -s "$python" ~/bin/python
-      ln -s "$python" ~/bin/python3
-    fi
+  echo "Python has platform.linux_distribution"
+  uname=$(uname -v)
+  if [[ "$uname" == *~18*-Ubuntu* || "$uname" == *~16*-Ubuntu* ]]; then
+    echo "Copying the system's platform module to Pypy"
+    pypy_platform=$(pypy3 -c 'import platform; print(platform.__file__)')
+    python_platform=$($python -c 'import platform; print(platform.__file__)')
+    cp -v "$python_platform" "$pypy_platform"
   fi
 fi
 
-echo "Installing Agent modules to ~/bin"
-unzip.py "$agent_package" ~/bin/WALinuxAgent
-unzip.py ~/bin/WALinuxAgent/bin/WALinuxAgent-*.egg ~/bin/WALinuxAgent/bin/WALinuxAgent.egg
-mv ~/bin/WALinuxAgent/bin/WALinuxAgent.egg/azurelinuxagent ~/bin
-rm -rf ~/bin/WALinuxAgent
+#
+# Now install the test Agent as a module package in Pypy.
+#
+echo "Installing Agent modules to Pypy"
+unzip.py ~/tmp/WALinuxAgent-*.zip ~/tmp/WALinuxAgent
+unzip.py ~/tmp/WALinuxAgent/bin/WALinuxAgent-*.egg ~/tmp/WALinuxAgent/bin/WALinuxAgent.egg
+mv ~/tmp/WALinuxAgent/bin/WALinuxAgent.egg/azurelinuxagent ~/bin/pypy*/site-packages
 
 #
-# Create ~/bin/agent-env to set PATH and PYTHONPATH.
+# Log the results of get_distro() in Pypy and Python.
 #
-# We add $HOME/bin to the front of PATH, so tools in ~/bin (including python) will
-# take precedence over system tools with the same name.
+pypy_get_distro=$(pypy3 -c 'from azurelinuxagent.common.version import get_distro; print(get_distro())')
+python_get_distro=$($python -c 'from azurelinuxagent.common.version import get_distro; print(get_distro())')
+echo "Pypy   get_distro(): $pypy_get_distro"
+echo "Python get_distro(): $python_get_distro"
+
 #
-# We set PYTHONPATH to include the location of the agent modules installed on the VM image and also
-# the test modules we copied to ~/bin.
+# Create ~/bin/set-agent-env to set PATH and PYTHONPATH.
 #
+# We append $HOME/bin to PATH and set PYTHONPATH to $HOME/lib (bin contains the scripts used by tests, while
+# lib contains the Python libraries used by tests).
 #
-echo "Creating ~/bin/agent-env to set PATH and PYTHONPATH"
-echo '
-if [[ $PATH != *"$HOME/bin"* ]]; then
-   PATH="$HOME/bin:$PATH:"
+echo "Creating ~/bin/set-agent-env to set PATH and PYTHONPATH"
+
+echo "
+if [[ \$PATH != *\"$HOME/bin\"* ]]; then
+  PATH=\"$HOME/bin:\$PATH:\"
 fi
 
-export PYTHONPATH="$HOME/bin"
-' > ~/bin/agent-env
-chmod u+x ~/bin/agent-env
+export PYTHONPATH=\"$HOME/lib\"
+" > ~/bin/set-agent-env
 
-echo "Adding ~/bin/agent-env to ~/.bash_profile"
-# In some distros, e.g. Flatcar, .bash_profile is a symbolic link to a read-only file. Make a copy in
-# that case.
+chmod u+x ~/bin/set-agent-env
+
+#
+# Add ~/bin/set-agent-env to .bash_profile to simplify interactive debugging sessions
+#
+# Note that in some distros .bash_profile is a symbolic link to a read-only file. Make a copy in that case.
+#
+echo "Adding ~/bin/set-agent-env to ~/.bash_profile"
 if test -e ~/.bash_profile && ls -l .bash_profile | grep '\->'; then
   cp ~/.bash_profile ~/.bash_profile-bk
   rm ~/.bash_profile
   mv ~/.bash_profile-bk ~/.bash_profile
 fi
-if ! test -e ~/.bash_profile || ! grep '~/bin/agent-env' ~/.bash_profile > /dev/null; then
-  echo 'source ~/bin/agent-env
+if ! test -e ~/.bash_profile || ! grep '~/bin/set-agent-env' ~/.bash_profile > /dev/null; then
+  echo 'source ~/bin/set-agent-env
 ' >> ~/.bash_profile
 fi
-
-source ~/bin/agent-env
-echo "PATH=$PATH"
-echo "PYTHONPATH=$PYTHONPATH"
-echo "python3 -> $(which python3)"
-python3 --version
diff --git a/tests_e2e/orchestrator/scripts/uncompress.py b/tests_e2e/orchestrator/scripts/uncompress.py
index 796ea98007..755397cf3e 100755
--- a/tests_e2e/orchestrator/scripts/uncompress.py
+++ b/tests_e2e/orchestrator/scripts/uncompress.py
@@ -1,5 +1,3 @@
-#!/usr/bin/env python3
-
 # Microsoft Azure Linux Agent
 #
 # Copyright 2018 Microsoft Corporation
diff --git a/tests_e2e/orchestrator/scripts/unzip.py b/tests_e2e/orchestrator/scripts/unzip.py
index e25da1981f..b909d6ae78 100755
--- a/tests_e2e/orchestrator/scripts/unzip.py
+++ b/tests_e2e/orchestrator/scripts/unzip.py
@@ -1,4 +1,4 @@
-#!/usr/bin/env python3
+#!/usr/bin/env pypy3
 
 # Microsoft Azure Linux Agent
 #
diff --git a/tests_e2e/pipeline/scripts/execute_tests.sh b/tests_e2e/pipeline/scripts/execute_tests.sh
index e5054bf2ea..15c9f0b5f6 100755
--- a/tests_e2e/pipeline/scripts/execute_tests.sh
+++ b/tests_e2e/pipeline/scripts/execute_tests.sh
@@ -86,18 +86,27 @@ sudo find "$LOGS_DIRECTORY" -exec chown "$USER" {} \;
 #
 # Move the relevant logs to the staging directory
 #
+# Move the logs for failed tests to a temporary location
+mkdir "$BUILD_ARTIFACTSTAGINGDIRECTORY"/tmp
+for log in $(grep -l MARKER-LOG-WITH-ERRORS "$LOGS_DIRECTORY"/*.log); do
+  mv "$log" "$BUILD_ARTIFACTSTAGINGDIRECTORY"/tmp
+done
+# Move the environment logs to "environment_logs"
 if ls "$LOGS_DIRECTORY"/env-*.log > /dev/null 2>&1; then
   mkdir "$BUILD_ARTIFACTSTAGINGDIRECTORY"/environment_logs
   mv "$LOGS_DIRECTORY"/env-*.log "$BUILD_ARTIFACTSTAGINGDIRECTORY"/environment_logs
 fi
+# Move the rest of the logs to "test_logs"
 if ls "$LOGS_DIRECTORY"/*.log > /dev/null 2>&1; then
   mkdir "$BUILD_ARTIFACTSTAGINGDIRECTORY"/test_logs
   mv "$LOGS_DIRECTORY"/*.log "$BUILD_ARTIFACTSTAGINGDIRECTORY"/test_logs
 fi
 # Move the logs for failed tests to the main directory
-if ls "$BUILD_ARTIFACTSTAGINGDIRECTORY"/test_logs/_*.log > /dev/null 2>&1; then
-  mv "$BUILD_ARTIFACTSTAGINGDIRECTORY"/test_logs/_*.log "$BUILD_ARTIFACTSTAGINGDIRECTORY"
+if ls "$BUILD_ARTIFACTSTAGINGDIRECTORY"/tmp/*.log > /dev/null 2>&1; then
+  mv "$BUILD_ARTIFACTSTAGINGDIRECTORY"/tmp/*.log "$BUILD_ARTIFACTSTAGINGDIRECTORY"
 fi
+rmdir "$BUILD_ARTIFACTSTAGINGDIRECTORY"/tmp
+# Move the logs collected from the test VMs to vm_logs
 if ls "$LOGS_DIRECTORY"/*.tgz > /dev/null 2>&1; then
   mkdir "$BUILD_ARTIFACTSTAGINGDIRECTORY"/vm_logs
   mv "$LOGS_DIRECTORY"/*.tgz "$BUILD_ARTIFACTSTAGINGDIRECTORY"/vm_logs
diff --git a/tests_e2e/tests/lib/ssh_client.py b/tests_e2e/tests/lib/ssh_client.py
index c10d763a47..a6e1ab9fd3 100644
--- a/tests_e2e/tests/lib/ssh_client.py
+++ b/tests_e2e/tests/lib/ssh_client.py
@@ -46,7 +46,7 @@ def run_command(self, command: str, use_sudo: bool = False) -> str:
         sudo = "sudo env PATH=$PATH PYTHONPATH=$PYTHONPATH" if use_sudo else ''
         return retry_ssh_run(lambda: shell.run_command([
             "ssh", "-o", "StrictHostKeyChecking=no", "-i", self._private_key_file, destination,
-            f"source ~/bin/agent-env;{sudo} {command}"]))
+            f"if [[ -e ~/bin/set-agent-env ]]; then source ~/bin/set-agent-env; fi; {sudo} {command}"]))
 
     @staticmethod
     def generate_ssh_key(private_key_file: Path):