diff --git a/.github/workflows/build_test_cbsinit.yml b/.github/workflows/build_test_cbsinit.yml
index 88258c05..e6ab6b86 100644
--- a/.github/workflows/build_test_cbsinit.yml
+++ b/.github/workflows/build_test_cbsinit.yml
@@ -10,7 +10,7 @@ jobs:
       matrix:
         os: ['windows-2022']
         download_official_python_msi: ["true"]
-        remove_python_pycs: ["true"]
+        remove_python_pycs: ["false"]
         install_with_pymanager: ["true"]
         cbsinit_repo: ['https://github.com/cloudbase/cloudbase-init']
         cbsinit_branch: ['master']
@@ -101,7 +101,7 @@ jobs:
             }
         }
         & $pythonPath -m pip install pip-audit
-        $pipAuditLogs = & $pipAuditPath
+        $pipAuditLogs = & $pipAuditPath --user
         Write-Output "$pipAuditLogs"
         if ($LASTEXITCODE) {
           throw "pip audit failed"
diff --git a/BuildAutomation/BuildCloudbaseInitSetup.ps1 b/BuildAutomation/BuildCloudbaseInitSetup.ps1
index a69d9a34..870cb795 100644
--- a/BuildAutomation/BuildCloudbaseInitSetup.ps1
+++ b/BuildAutomation/BuildCloudbaseInitSetup.ps1
@@ -97,6 +97,15 @@ try
 
     CheckCopyDir $python_template_dir $python_dir
 
+    $pythonGetPipUrl = "https://bootstrap.pypa.io/get-pip.py"
+    $pythonGetPipPath = Join-Path (Resolve-Path "${python_dir}/..").Path "/get-pip.py"
+    ExecRetry { DownloadFile $pythonGetPipUrl $pythonGetPipPath }
+
+    & python.exe "${pythonGetPipPath}"
+    if ($LASTEXITCODE) {
+        throw "Failed to install pip in directory: ${python_dir}"
+    }
+    
     # Make sure that we don't have temp files from a previous build
     $python_build_path = "$ENV:LOCALAPPDATA\Temp\pip_build_$ENV:USERNAME"
     if (Test-Path $python_build_path) {
@@ -104,6 +113,11 @@ try
     }
 
     ExecRetry { PipInstall "pip" -update $true }
+    # When using embed Python, pbr needs to be reinstalled so that the project builds
+    # Warning received: UserWarning: Unknown distribution option: 'pbr'
+    # pbr is already installed but most likely this is a problem with knowing where it is,
+    # and reinstalling fixing the issue
+    ExecRetry { PipInstall "pbr" -update $true }
     ExecRetry { PipInstall "wheel" -update $true }
     ExecRetry { PipInstall "setuptools" -update $true }
 
diff --git a/BuildAutomation/BuildUtils.ps1 b/BuildAutomation/BuildUtils.ps1
index a9c3f13e..405b3ec2 100644
--- a/BuildAutomation/BuildUtils.ps1
+++ b/BuildAutomation/BuildUtils.ps1
@@ -484,7 +484,7 @@ function DownloadInstall-PythonUsingPyManager($platform, $python_template_dir, $
         throw "$python_template_dir folder already exists"
     }
 
-    $pythonVersionEscaped = $pythonVersion.replace("_",".") + $platformSuffix
+    $pythonVersionEscaped = "PythonEmbed\" + $pythonVersion.replace("_",".") + $platformSuffix
     pymanager.exe install --target=$python_template_dir --force --update $pythonVersionEscaped
     if ($LASTEXITCODE) {
         throw "Failed to install python in directory: ${python_template_dir}"
@@ -499,12 +499,38 @@ function DownloadInstall-PythonUsingPyManager($platform, $python_template_dir, $
         throw "Failed to run python in directory: ${python_template_dir}"
     }
 
-    Remove-Item -Force -Recurse "$python_template_dir/DLLs/_tkinter.pyd"
-    Remove-Item -Force -Recurse "$python_template_dir/DLLs/tcl*.dll"
-    Remove-Item -Force -Recurse "$python_template_dir/DLLs/tk*.dll"
-    Remove-Item -Force -Recurse "$python_template_dir/Doc"
-    Remove-Item -Force -Recurse "$python_template_dir/Lib/tkinter"
-    Remove-Item -Force -Recurse "$python_template_dir/Lib/turtle.py"
-    Remove-Item -Force -Recurse "$python_template_dir/Lib/turtledemo"
-    Remove-Item -Force -Recurse "$python_template_dir/tcl"
-}
\ No newline at end of file
+    Out-File -Append -InputObject "Lib\site-packages" -Encoding ascii $python_template_dir\python*._pth
+    Out-File -Append -InputObject "libs" -Encoding ascii $python_template_dir\python*._pth
+
+    $python_template_dir_full = $python_template_dir + "_full"
+    $pythonVersionEscaped = $pythonVersion.replace("_",".") + $platformSuffix
+    pymanager.exe install --target=$python_template_dir_full --force --update $pythonVersionEscaped
+    if ($LASTEXITCODE) {
+        throw "Failed to install python in directory: ${python_template_dir_full}"
+    }
+
+    Move-Item $python_template_dir_full/include $python_template_dir/
+    Move-Item $python_template_dir_full/libs $python_template_dir/
+
+    mkdir $python_template_dir\Lib\site-packages
+
+    Out-File -Append -InputObject "win32" -Encoding ascii "$python_template_dir\Lib\site-packages\pywin32.pth"
+    Out-File -Append -InputObject "win32\lib" -Encoding ascii "$python_template_dir\Lib\site-packages\pywin32.pth"
+    Out-File -Append -InputObject "Pythonwin" -Encoding ascii "$python_template_dir\Lib\site-packages\pywin32.pth"
+    Out-File -Append -InputObject "import pywin32_bootstrap" -Encoding ascii "$python_template_dir\Lib\site-packages\pywin32.pth"
+
+    Out-File -Append -InputObject "Lib\site-packages\win32" -Encoding ascii $python_template_dir\python*._pth
+    Out-File -Append -InputObject "Lib\site-packages\win32\lib" -Encoding ascii $python_template_dir\python*._pth
+    Out-File -Append -InputObject "Lib\site-packages\Pythonwin" -Encoding ascii $python_template_dir\python*._pth
+
+    Remove-Item -Force -Recurse "$python_template_dir_full" -ErrorAction SilentlyContinue
+
+    Remove-Item -Force -Recurse "$python_template_dir/DLLs/_tkinter.pyd" -ErrorAction SilentlyContinue
+    Remove-Item -Force -Recurse "$python_template_dir/DLLs/tcl*.dll" -ErrorAction SilentlyContinue
+    Remove-Item -Force -Recurse "$python_template_dir/DLLs/tk*.dll" -ErrorAction SilentlyContinue
+    Remove-Item -Force -Recurse "$python_template_dir/Doc" -ErrorAction SilentlyContinue
+    Remove-Item -Force -Recurse "$python_template_dir/Lib/tkinter" -ErrorAction SilentlyContinue
+    Remove-Item -Force -Recurse "$python_template_dir/Lib/turtle.py" -ErrorAction SilentlyContinue
+    Remove-Item -Force -Recurse "$python_template_dir/Lib/turtledemo" -ErrorAction SilentlyContinue
+    Remove-Item -Force -Recurse "$python_template_dir/tcl" -ErrorAction SilentlyContinue
+}