diff --git a/sky/backends/cloud_vm_ray_backend.py b/sky/backends/cloud_vm_ray_backend.py
index 6d2447fe89b..6ff9731033e 100644
--- a/sky/backends/cloud_vm_ray_backend.py
+++ b/sky/backends/cloud_vm_ray_backend.py
@@ -3175,7 +3175,8 @@ def _setup_node(node_id: int) -> None:
                 f'{create_script_code} && {setup_cmd}',
                 log_path=setup_log_path,
                 process_stream=False,
-                source_bashrc=True,
+                # We do not source bashrc for setup, since bashrc is sourced
+                # in the script already.
             )
 
             def error_message() -> str:
@@ -3724,7 +3725,6 @@ def tail_managed_job_logs(self,
             process_stream=False,
             ssh_mode=command_runner.SshMode.INTERACTIVE,
             stdin=subprocess.DEVNULL,
-            source_bashrc=True,
         )
 
     def tail_serve_logs(self, handle: CloudVmRayResourceHandle,
@@ -3762,7 +3762,6 @@ def tail_serve_logs(self, handle: CloudVmRayResourceHandle,
             process_stream=False,
             ssh_mode=command_runner.SshMode.INTERACTIVE,
             stdin=subprocess.DEVNULL,
-            source_bashrc=True,
         )
 
     def teardown_no_lock(self,
diff --git a/sky/provision/instance_setup.py b/sky/provision/instance_setup.py
index 1e5e6285fef..2e07f026616 100644
--- a/sky/provision/instance_setup.py
+++ b/sky/provision/instance_setup.py
@@ -198,8 +198,8 @@ def _setup_node(runner: command_runner.CommandRunner, log_path: str):
                 stream_logs=False,
                 log_path=log_path,
                 require_outputs=True,
-                # Installing depencies requires source bashrc to access the PATH
-                # in bashrc.
+                # Installing dependencies requires source bashrc to access
+                # conda.
                 source_bashrc=True)
             retry_cnt = 0
             while returncode == 255 and retry_cnt < _MAX_RETRY:
diff --git a/sky/skylet/constants.py b/sky/skylet/constants.py
index 578629ea3e2..0f2d7540007 100644
--- a/sky/skylet/constants.py
+++ b/sky/skylet/constants.py
@@ -91,15 +91,18 @@
 # AWS's Deep Learning AMI's default conda environment.
 CONDA_INSTALLATION_COMMANDS = (
     'which conda > /dev/null 2>&1 || '
-    '(wget -nc https://repo.anaconda.com/miniconda/Miniconda3-py310_23.11.0-2-Linux-x86_64.sh -O Miniconda3-Linux-x86_64.sh && '  # pylint: disable=line-too-long
+    '{ wget -nc https://repo.anaconda.com/miniconda/Miniconda3-py310_23.11.0-2-Linux-x86_64.sh -O Miniconda3-Linux-x86_64.sh && '  # pylint: disable=line-too-long
     'bash Miniconda3-Linux-x86_64.sh -b && '
     'eval "$(~/miniconda3/bin/conda shell.bash hook)" && conda init && '
-    'conda config --set auto_activate_base true); '
-    'grep "# >>> conda initialize >>>" ~/.bashrc || conda init;'
+    'conda config --set auto_activate_base true && '
+    # Use $(echo ~) instead of ~ to avoid the error "no such file or directory".
+    # Also, not using $HOME to avoid the error HOME variable not set.
+    f'echo "$(echo ~)/miniconda3/bin/python" > {SKY_PYTHON_PATH_FILE}; }}; '
+    'grep "# >>> conda initialize >>>" ~/.bashrc || '
+    '{ conda init && source ~/.bashrc; };'
     '(type -a python | grep -q python3) || '
     'echo \'alias python=python3\' >> ~/.bashrc;'
     '(type -a pip | grep -q pip3) || echo \'alias pip=pip3\' >> ~/.bashrc;'
-    'source ~/.bashrc;'
     # Writes Python path to file if it does not exist or the file is empty.
     f'[ -s {SKY_PYTHON_PATH_FILE} ] || which python3 > {SKY_PYTHON_PATH_FILE};')
 
diff --git a/sky/utils/command_runner.py b/sky/utils/command_runner.py
index 3aa87eda138..3ed69d0e2a1 100644
--- a/sky/utils/command_runner.py
+++ b/sky/utils/command_runner.py
@@ -184,8 +184,8 @@ def _get_command_to_run(
             # cluster by 1 second.
             # sourcing ~/.bashrc is not required for internal executions
             command += [
-                'true && export OMP_NUM_THREADS=1 PYTHONWARNINGS=ignore'
-                f' && ({cmd})'
+                shlex.quote('true && export OMP_NUM_THREADS=1 '
+                            f'PYTHONWARNINGS=ignore && ({cmd})')
             ]
         if not separate_stderr:
             command.append('2>&1')
@@ -431,10 +431,12 @@ def run(
             cmd,
             process_stream,
             separate_stderr,
-            # A hack to remove the following bash warnings (twice):
+            # A hack to remove the following SSH warning+bash warnings (twice):
+            #  Warning: Permanently added 'xx.xx.xx.xx' to the list of known...
             #  bash: cannot set terminal process group
             #  bash: no job control in this shell
-            skip_lines=5 if source_bashrc else 0,
+            # When not source_bashrc, the bash warning will only show once.
+            skip_lines=5 if source_bashrc else 3,
             source_bashrc=source_bashrc)
         command = base_ssh_command + [shlex.quote(command_str)]