diff --git a/RECIPE-API-CHANGELOG.md b/RECIPE-API-CHANGELOG.md
index 1839770..ac9d8d6 100644
--- a/RECIPE-API-CHANGELOG.md
+++ b/RECIPE-API-CHANGELOG.md
@@ -246,3 +246,9 @@ by setting DEBIAN_BUILD_DEPENDS.
 
 ${S} can now be used for checking out sources without being linked implicitly
 with ${D} which needs to be filled explicitly in do_install as before.
+
+### Remove ISARROOT from bitbake environment
+
+ISARROOT variable is now removed from the bitbake environment. It is unset
+after the initial setup. It is replaced with dedicated variables like
+BITBAKEDIR, SCRIPTSDIR and TESTSUITEDIR.
diff --git a/isar-init-build-env b/isar-init-build-env
index b08bb59..85fb82f 100755
--- a/isar-init-build-env
+++ b/isar-init-build-env
@@ -55,5 +55,6 @@ export ISARROOT
     unset ISARROOT
     return 1
 }
+unset ISARROOT
 
 [ -z "$BUILDDIR" ] || cd "$BUILDDIR"
diff --git a/meta/classes/image-sdk-extension.bbclass b/meta/classes/image-sdk-extension.bbclass
index b9f2cf4..b91fdd6 100644
--- a/meta/classes/image-sdk-extension.bbclass
+++ b/meta/classes/image-sdk-extension.bbclass
@@ -19,7 +19,7 @@ do_populate_sdk() {
     sudo rm -f ${SDKCHROOT_DIR}/chroot-setup.sh ${SDKCHROOT_DIR}/configscript.sh
 
     # Copy mount_chroot.sh for convenience
-    sudo cp ${ISARROOT}/scripts/mount_chroot.sh ${SDKCHROOT_DIR}
+    sudo cp ${SCRIPTSDIR}/mount_chroot.sh ${SDKCHROOT_DIR}
 
     # Create SDK archive
     cd -P ${SDKCHROOT_DIR}/..
diff --git a/meta/classes/wic-img.bbclass b/meta/classes/wic-img.bbclass
index afab394..1bb1021 100644
--- a/meta/classes/wic-img.bbclass
+++ b/meta/classes/wic-img.bbclass
@@ -86,7 +86,7 @@ STAGING_DATADIR ?= "/usr/lib/"
 STAGING_LIBDIR ?= "/usr/lib/"
 STAGING_DIR ?= "${TMPDIR}"
 IMAGE_BASENAME ?= "${PN}-${DISTRO}"
-FAKEROOTCMD ?= "${ISARROOT}/scripts/wic_fakeroot"
+FAKEROOTCMD ?= "${SCRIPTSDIR}/wic_fakeroot"
 RECIPE_SYSROOT_NATIVE ?= "/"
 BUILDCHROOT_DIR = "${BUILDCHROOT_TARGET_DIR}"
 
@@ -132,7 +132,7 @@ do_wic_image() {
     buildchroot_do_mounts
     sudo -s <<'EOSUDO'
         ( flock 9
-        for dir in ${BBLAYERS} ${STAGING_DIR} ${ISARROOT}/scripts ${ISARROOT}/bitbake; do
+        for dir in ${BBLAYERS} ${STAGING_DIR} ${SCRIPTSDIR} ${BITBAKEDIR}; do
             mkdir -p ${BUILDCHROOT_DIR}/$dir
             if ! mountpoint ${BUILDCHROOT_DIR}/$dir >/dev/null 2>&1; then
                 mount --bind --make-private $dir ${BUILDCHROOT_DIR}/$dir
@@ -149,25 +149,26 @@ EOSUDO
 
     sudo -E chroot ${BUILDCHROOT_DIR} \
         sh -c ' \
-          ISARROOT="$1"
-          WKS_FULL_PATH="$2"
-          STAGING_DIR="$3"
-          MACHINE="$4"
-          WICTMP="$5"
-          IMAGE_FULLNAME="$6"
-          IMAGE_BASENAME="$7"
-          shift 7
-
-          export PATH="$ISARROOT/bitbake/bin:$PATH"
-          "$ISARROOT"/scripts/wic create "$WKS_FULL_PATH" \
+          BITBAKEDIR="$1"
+          SCRIPTSDIR="$2"
+          WKS_FULL_PATH="$3"
+          STAGING_DIR="$4"
+          MACHINE="$5"
+          WICTMP="$6"
+          IMAGE_FULLNAME="$7"
+          IMAGE_BASENAME="$8"
+          shift 8
+
+          export PATH="$BITBAKEDIR/bin:$PATH"
+          "$SCRIPTSDIR"/wic create "$WKS_FULL_PATH" \
             --vars "$STAGING_DIR/$MACHINE/imgdata/" \
             -o "/$WICTMP/${IMAGE_FULLNAME}.wic/" \
             --bmap \
             -e "$IMAGE_BASENAME" $@' \
-              my_script "${ISARROOT}" "${WKS_FULL_PATH}" "${STAGING_DIR}" \
+              my_script "${BITBAKEDIR}" "${SCRIPTSDIR}" "${WKS_FULL_PATH}" "${STAGING_DIR}" \
               "${MACHINE}" "${WICTMP}" "${IMAGE_FULLNAME}" "${IMAGE_BASENAME}" \
               ${WIC_CREATE_EXTRA_ARGS}
-    sudo chown -R $(stat -c "%U" ${ISARROOT}) ${ISARROOT}/meta ${ISARROOT}/meta-isar ${ISARROOT}/scripts || true
+    sudo chown -R $(stat -c "%U" ${LAYERDIR_core}) ${LAYERDIR_core} ${LAYERDIR_isar} ${SCRIPTSDIR} || true
     WIC_DIRECT=$(ls -t -1 ${BUILDCHROOT_DIR}/$WICTMP/${IMAGE_FULLNAME}.wic/*.direct | head -1)
     sudo chown -R $(id -u):$(id -g) ${BUILDCHROOT_DIR}/${WICTMP}
     mv -f ${WIC_DIRECT} ${WIC_IMAGE_FILE}
diff --git a/scripts/ci_build.sh b/scripts/ci_build.sh
index af996d1..bf224a6 100755
--- a/scripts/ci_build.sh
+++ b/scripts/ci_build.sh
@@ -144,8 +144,8 @@ if [ -n "$CROSS_BUILD" ]; then
 fi
 
 if [ -n "$REPRO_BUILD" ]; then
-    ISAR_TESTSUITE_GPG_PUB_KEY_FILE="$ISARROOT/testsuite/base-apt/test_pub.key"
-    ISAR_TESTSUITE_GPG_PRIV_KEY_FILE="$ISARROOT/testsuite/base-apt/test_priv.key"
+    ISAR_TESTSUITE_GPG_PUB_KEY_FILE="$TESTSUITEDIR/base-apt/test_pub.key"
+    ISAR_TESTSUITE_GPG_PRIV_KEY_FILE="$TESTSUITEDIR/base-apt/test_priv.key"
     export GNUPGHOME=$(mktemp -d)
     gpg --import $ISAR_TESTSUITE_GPG_PUB_KEY_FILE $ISAR_TESTSUITE_GPG_PRIV_KEY_FILE
 
@@ -206,21 +206,23 @@ if [ -z "$FAST_BUILD" ]; then
     while [ -e bitbake.sock ]; do sleep 1; done
 fi
 
-cp -a "${ISARROOT}/meta/classes/dpkg-base.bbclass" "${ISARROOT}/meta/classes/dpkg-base.bbclass.ci-backup"
-echo -e "do_fetch_append() {\n\n}" >> "${ISARROOT}/meta/classes/dpkg-base.bbclass"
+eval $(bitbake -e | grep "^LAYERDIR_core=")
+eval $(bitbake -e | grep "^LAYERDIR_isar=")
+cp -a "${LAYERDIR_core}/classes/dpkg-base.bbclass" "${LAYERDIR_core}/classes/dpkg-base.bbclass.ci-backup"
+echo -e "do_fetch_append() {\n\n}" >> "${LAYERDIR_core}/classes/dpkg-base.bbclass"
 
 bitbake $BB_ARGS mc:qemuamd64-stretch:isar-image-base
 
-mv "${ISARROOT}/meta/classes/dpkg-base.bbclass.ci-backup" "${ISARROOT}/meta/classes/dpkg-base.bbclass"
+mv "${LAYERDIR_core}/classes/dpkg-base.bbclass.ci-backup" "${LAYERDIR_core}/classes/dpkg-base.bbclass"
 
 # Test wic --exclude-path
-cp -a "${ISARROOT}/meta-isar/scripts/lib/wic/canned-wks/sdimage-efi.wks" "${ISARROOT}/meta-isar/scripts/lib/wic/canned-wks/sdimage-efi.wks.ci-backup"
+cp -a "${LAYERDIR_isar}/scripts/lib/wic/canned-wks/sdimage-efi.wks" "${LAYERDIR_isar}/scripts/lib/wic/canned-wks/sdimage-efi.wks.ci-backup"
 mv ${BUILDDIR}/tmp/deploy/images/qemuamd64/isar-image-base-debian-stretch-qemuamd64.wic.img \
     ${BUILDDIR}/tmp/deploy/images/qemuamd64/isar-image-base-debian-stretch-qemuamd64.wic.img.ci-backup
-sed -i -e 's/part \/ /part \/ --exclude-path usr /g' "${ISARROOT}/meta-isar/scripts/lib/wic/canned-wks/sdimage-efi.wks"
+sed -i -e 's/part \/ /part \/ --exclude-path usr /g' "${LAYERDIR_isar}/scripts/lib/wic/canned-wks/sdimage-efi.wks"
 
 bitbake $BB_ARGS mc:qemuamd64-stretch:isar-image-base
 
-mv "${ISARROOT}/meta-isar/scripts/lib/wic/canned-wks/sdimage-efi.wks.ci-backup" "${ISARROOT}/meta-isar/scripts/lib/wic/canned-wks/sdimage-efi.wks"
+mv "${LAYERDIR_isar}/scripts/lib/wic/canned-wks/sdimage-efi.wks.ci-backup" "${LAYERDIR_isar}/scripts/lib/wic/canned-wks/sdimage-efi.wks"
 mv ${BUILDDIR}/tmp/deploy/images/qemuamd64/isar-image-base-debian-stretch-qemuamd64.wic.img.ci-backup \
     ${BUILDDIR}/tmp/deploy/images/qemuamd64/isar-image-base-debian-stretch-qemuamd64.wic.img
diff --git a/scripts/isar-buildenv-internal b/scripts/isar-buildenv-internal
index 72a91ab..fe1e65f 100755
--- a/scripts/isar-buildenv-internal
+++ b/scripts/isar-buildenv-internal
@@ -59,8 +59,11 @@ fi
 unset BDIR
 
 export BUILDDIR
+export BITBAKEDIR="${ISARROOT}/bitbake"
+export SCRIPTSDIR="${ISARROOT}/scripts"
+export TESTSUITEDIR="${ISARROOT}/testsuite"
 
-for newpath in "$ISARROOT/bitbake/bin" "$ISARROOT/scripts"; do
+for newpath in "$BITBAKEDIR/bin" "$SCRIPTSDIR"; do
     # Remove any existences of $newpath from $PATH
     PATH=$(echo $PATH | sed -re "s#(^|:)$newpath(:|$)#\2#g;s#^:##")
 
@@ -74,5 +77,5 @@ export PATH
 BBPATH="${BUILDDIR}"
 export BBPATH
 
-BB_ENV_EXTRAWHITE="BUILDDIR ISARROOT http_proxy https_proxy ftp_proxy no_proxy GNUPGHOME"
+BB_ENV_EXTRAWHITE="BUILDDIR BITBAKEDIR SCRIPTSDIR TESTSUITEDIR http_proxy https_proxy ftp_proxy no_proxy GNUPGHOME"
 export BB_ENV_EXTRAWHITE