diff --git a/tests/e2e/kubetest2-kops/deployer/build.go b/tests/e2e/kubetest2-kops/deployer/build.go
index ed11d3f462f58..6eb5df69b43bd 100644
--- a/tests/e2e/kubetest2-kops/deployer/build.go
+++ b/tests/e2e/kubetest2-kops/deployer/build.go
@@ -78,12 +78,6 @@ func (d *deployer) verifyBuildFlags() error {
 
 	d.BuildOptions.KopsRoot = d.KopsRoot
 	d.BuildOptions.StageLocation = d.StageLocation
-	for _, envvar := range d.env() {
-		// Set all of the env vars we use for kops in the current process
-		// so that the tester inherits them when shelling out to kops
-		i := strings.Index(envvar, "=")
-		os.Setenv(envvar[0:i], envvar[i+1:])
-	}
 	return nil
 }
 
diff --git a/tests/e2e/kubetest2-kops/deployer/common.go b/tests/e2e/kubetest2-kops/deployer/common.go
index 098b24e92f8d7..f480fef0e99bf 100644
--- a/tests/e2e/kubetest2-kops/deployer/common.go
+++ b/tests/e2e/kubetest2-kops/deployer/common.go
@@ -106,7 +106,7 @@ func (d *deployer) initialize() error {
 				d.SSHPrivateKeyPath = privateKey
 				d.SSHPublicKeyPath = publicKey
 			}
-			d.createBucket = os.Getenv("KOPS_STATE_STORE") == ""
+			d.createBucket = true
 		}
 	}
 	if d.SSHUser == "" {
@@ -119,6 +119,14 @@ func (d *deployer) initialize() error {
 		}
 		d.terraform = t
 	}
+	if d.commonOptions.ShouldTest() {
+		for _, envvar := range d.env() {
+			// Set all of the env vars we use for kops in the current process
+			// so that the tester inherits them when shelling out to kops
+			i := strings.Index(envvar, "=")
+			os.Setenv(envvar[0:i], envvar[i+1:])
+		}
+	}
 	return nil
 }