diff --git a/go.mod b/go.mod
index 5bea55445..73801aa87 100644
--- a/go.mod
+++ b/go.mod
@@ -19,7 +19,7 @@ require (
 	github.com/lithammer/dedent v1.1.0
 	github.com/logrusorgru/aurora v2.0.3+incompatible
 	github.com/onsi/ginkgo/v2 v2.9.2
-	github.com/onsi/gomega v1.27.4
+	github.com/onsi/gomega v1.27.6
 	github.com/otiai10/copy v1.4.2
 	github.com/pkg/errors v0.9.1
 	github.com/sigstore/cosign v1.13.1
@@ -32,7 +32,7 @@ require (
 	github.com/vmware-tanzu/carvel-imgpkg v0.36.1
 	github.com/vmware-tanzu/carvel-ytt v0.40.0
 	github.com/vmware-tanzu/tanzu-framework/capabilities/client v0.0.0-20230415084831-9331f55d2999
-	github.com/vmware-tanzu/tanzu-plugin-runtime v0.90.0-alpha.0
+	github.com/vmware-tanzu/tanzu-plugin-runtime v0.90.0-alpha.0.0.20230425191535-014e58e69078
 	go.pinniped.dev v0.20.0
 	go.uber.org/multierr v1.8.0
 	golang.org/x/mod v0.9.0
diff --git a/go.sum b/go.sum
index bcf1a91bb..00c4a9634 100644
--- a/go.sum
+++ b/go.sum
@@ -1004,8 +1004,8 @@ github.com/onsi/gomega v1.7.1/go.mod h1:XdKZgCCFLUoM/7CFJVPcG8C1xQ1AJ0vpAezJrB7J
 github.com/onsi/gomega v1.10.1/go.mod h1:iN09h71vgCQne3DLsj+A5owkum+a2tYe+TOCB1ybHNo=
 github.com/onsi/gomega v1.17.0/go.mod h1:HnhC7FXeEQY45zxNK3PPoIUhzk/80Xly9PcubAlGdZY=
 github.com/onsi/gomega v1.19.0/go.mod h1:LY+I3pBVzYsTBU1AnDwOSxaYi9WoWiqgwooUqq9yPro=
-github.com/onsi/gomega v1.27.4 h1:Z2AnStgsdSayCMDiCU42qIz+HLqEPcgiOCXjAU/w+8E=
-github.com/onsi/gomega v1.27.4/go.mod h1:riYq/GJKh8hhoM01HN6Vmuy93AarCXCBGpvFDK3q3fQ=
+github.com/onsi/gomega v1.27.6 h1:ENqfyGeS5AX/rlXDd/ETokDz93u0YufY1Pgxuy/PvWE=
+github.com/onsi/gomega v1.27.6/go.mod h1:PIQNjfQwkP3aQAH7lf7j87O/5FiNr+ZR8+ipb+qQlhg=
 github.com/op/go-logging v0.0.0-20160315200505-970db520ece7/go.mod h1:HzydrMdWErDVzsI23lYNej1Htcns9BCg93Dk0bBINWk=
 github.com/opencontainers/go-digest v1.0.0 h1:apOUWs51W5PlhuyGyz9FCeeBIOUDA/6nW8Oi/yOhh5U=
 github.com/opencontainers/go-digest v1.0.0/go.mod h1:0JzlMkj0TRzQZfJkVvzbP0HBR3IKzErnv2BNG4W4MAM=
@@ -1287,8 +1287,8 @@ github.com/vmware-tanzu/tanzu-framework/apis/run v0.0.0-20221207131309-7323ca04b
 github.com/vmware-tanzu/tanzu-framework/apis/run v0.0.0-20221207131309-7323ca04b86c/go.mod h1:ukZpKQ0hf5bjWdJLjn2M6qXP+9giZWQPxt8nOfrCR+o=
 github.com/vmware-tanzu/tanzu-framework/capabilities/client v0.0.0-20230415084831-9331f55d2999 h1:WITDH+wpdl/clw1hwy+2jtq4Pt//i/Mq9lQXGwg3q4c=
 github.com/vmware-tanzu/tanzu-framework/capabilities/client v0.0.0-20230415084831-9331f55d2999/go.mod h1:umFZBUfJ8VI3p0VO/xocuE+4fO9s9QbytEiOqFcH/Tw=
-github.com/vmware-tanzu/tanzu-plugin-runtime v0.90.0-alpha.0 h1:7HOxIB70moCj8b39/kezbJbzF2XqoCihGS7bIPhqTAA=
-github.com/vmware-tanzu/tanzu-plugin-runtime v0.90.0-alpha.0/go.mod h1:y70TLdev7MX8K6CkAA7h92qVUDyjbX8y9/J5q4UmhRs=
+github.com/vmware-tanzu/tanzu-plugin-runtime v0.90.0-alpha.0.0.20230425191535-014e58e69078 h1:FnqG7kCmltbUgnGJiDcokvQT1Bbvs38IrmVIUFj4P34=
+github.com/vmware-tanzu/tanzu-plugin-runtime v0.90.0-alpha.0.0.20230425191535-014e58e69078/go.mod h1:FlvOcF26rX4EA+ADjYTJdFh6WVur6O4jh25FDP9Lp7E=
 github.com/xanzy/go-gitlab v0.31.0/go.mod h1:sPLojNBn68fMUWSxIJtdVVIP8uSBYqesTfDUseX11Ug=
 github.com/xanzy/go-gitlab v0.73.1 h1:UMagqUZLJdjss1SovIC+kJCH4k2AZWXl58gJd38Y/hI=
 github.com/xanzy/go-gitlab v0.73.1/go.mod h1:d/a0vswScO7Agg1CZNz15Ic6SSvBG9vfw8egL99t4kA=
diff --git a/hack/central-repo/README.md b/hack/central-repo/README.md
index af208bb3a..87e9f2e54 100644
--- a/hack/central-repo/README.md
+++ b/hack/central-repo/README.md
@@ -24,7 +24,7 @@ For the `sandbox2:small` image, the `v22.22.22` of the plugins can be installed.
 The steps to follow to use the test central repo are:
 
 1. Start the test repo with `make start-test-central-repo`.
-1. Configure the plugin source for the test central repo: `tz config set env.TANZU_CLI_PRE_RELEASE_REPO_IMAGE localhost:9876/tanzu-cli/plugins/central:small`
+1. Configure the plugin source for the test central repo: `tz plugin source update default -u localhost:9876/tanzu-cli/plugins/central:small`
 
 Here are the exact commands:
 
@@ -33,7 +33,7 @@ cd tanzu-cli
 make build
 make start-test-central-repo
 alias tz=$(pwd)/bin/tanzu
-tz config set env.TANZU_CLI_PRE_RELEASE_REPO_IMAGE localhost:9876/tanzu-cli/plugins/central:small
+tz plugin source update default -u localhost:9876/tanzu-cli/plugins/central:small
 
 tz plugin search
 tz plugin install cluster --target tmc
@@ -52,7 +52,7 @@ TMC context (`v0.0.1`), but will install them from the test Central Repository.
 To use the large test central repo instead:
 
 ```bash
-tz config set env.TANZU_CLI_PRE_RELEASE_REPO_IMAGE localhost:9876/tanzu-cli/plugins/central:large
+tz plugin source update default -u localhost:9876/tanzu-cli/plugins/central:large
 ```
 
 To stop the central repos: `make stop-test-central-repo`.
diff --git a/pkg/command/discovery_source.go b/pkg/command/discovery_source.go
index 22d57aa6a..aa675b1f1 100644
--- a/pkg/command/discovery_source.go
+++ b/pkg/command/discovery_source.go
@@ -8,6 +8,7 @@ import (
 	"strings"
 
 	"github.com/vmware-tanzu/tanzu-cli/pkg/cli"
+	"github.com/vmware-tanzu/tanzu-cli/pkg/config"
 	"github.com/vmware-tanzu/tanzu-cli/pkg/constants"
 
 	"github.com/pkg/errors"
@@ -27,40 +28,47 @@ var (
 
 func newDiscoverySourceCmd() *cobra.Command {
 	var discoverySourceCmd = &cobra.Command{
-		Use: "source",
-		// TODO(khouzam): not to be used for the alpha.0 release, but will be re-added after
-		Hidden: true,
-		Short:  "Manage plugin discovery sources",
-		Long:   "Manage plugin discovery sources. Discovery source provides metadata about the list of available plugins, their supported versions and how to download them.",
+		Use:   "source",
+		Short: "Manage plugin discovery sources",
+		Long:  "Manage plugin discovery sources. Discovery source provides metadata about the list of available plugins, their supported versions and how to download them.",
 	}
 	discoverySourceCmd.SetUsageFunc(cli.SubCmdUsageFunc)
 
 	listDiscoverySourceCmd := newListDiscoverySourceCmd()
-	addDiscoverySourceCmd := newAddDiscoverySourceCmd()
 	updateDiscoverySourceCmd := newUpdateDiscoverySourceCmd()
 	deleteDiscoverySourceCmd := newDeleteDiscoverySourceCmd()
 
-	addDiscoverySourceCmd.Flags().StringVarP(&discoverySourceName, "name", "n", "", "name of discovery source")
-	addDiscoverySourceCmd.Flags().StringVarP(&discoverySourceType, "type", "t", "", "type of discovery source")
-	addDiscoverySourceCmd.Flags().StringVarP(&uri, "uri", "u", "", "URI for discovery source. URI format might be different based on the type of discovery source")
-
-	// Not handling errors below because cobra handles the error when flag user doesn't provide these required flags
-	_ = cobra.MarkFlagRequired(addDiscoverySourceCmd.Flags(), "name")
-	_ = cobra.MarkFlagRequired(addDiscoverySourceCmd.Flags(), "type")
-	_ = cobra.MarkFlagRequired(addDiscoverySourceCmd.Flags(), "uri")
-
-	updateDiscoverySourceCmd.Flags().StringVarP(&discoverySourceType, "type", "t", "", "type of discovery source")
-	updateDiscoverySourceCmd.Flags().StringVarP(&uri, "uri", "u", "", "URI for discovery source. URI format might be different based on the type of discovery source")
-
 	listDiscoverySourceCmd.Flags().StringVarP(&outputFormat, "output", "o", "", "Output format (yaml|json|table)")
 
 	discoverySourceCmd.AddCommand(
 		listDiscoverySourceCmd,
-		addDiscoverySourceCmd,
 		updateDiscoverySourceCmd,
 		deleteDiscoverySourceCmd,
 	)
 
+	if !configlib.IsFeatureActivated(constants.FeatureDisableCentralRepositoryForTesting) {
+		discoverySourceCmd.AddCommand(newInitDiscoverySourceCmd())
+		updateDiscoverySourceCmd.Flags().StringVarP(&uri, "uri", "u", "", "URI for discovery source. The URI must be of an OCI image")
+	} else {
+		updateDiscoverySourceCmd.Flags().StringVarP(&discoverySourceType, "type", "t", "", "type of discovery source")
+		updateDiscoverySourceCmd.Flags().StringVarP(&uri, "uri", "u", "", "URI for discovery source. The URI format might be different based on the type of discovery source")
+
+		// The "add" and "delete" plugin source commands are not needed for the central repo
+		addDiscoverySourceCmd := newAddDiscoverySourceCmd()
+
+		addDiscoverySourceCmd.Flags().StringVarP(&discoverySourceName, "name", "n", "", "name of discovery source")
+		addDiscoverySourceCmd.Flags().StringVarP(&discoverySourceType, "type", "t", "", "type of discovery source")
+		addDiscoverySourceCmd.Flags().StringVarP(&uri, "uri", "u", "", "URI for discovery source. The URI format might be different based on the type of discovery source")
+
+		// Not handling errors below because cobra handles the error when flag user doesn't provide these required flags
+		_ = cobra.MarkFlagRequired(addDiscoverySourceCmd.Flags(), "name")
+		_ = cobra.MarkFlagRequired(addDiscoverySourceCmd.Flags(), "type")
+		_ = cobra.MarkFlagRequired(addDiscoverySourceCmd.Flags(), "uri")
+
+		discoverySourceCmd.AddCommand(
+			addDiscoverySourceCmd,
+		)
+	}
 	return discoverySourceCmd
 }
 
@@ -69,6 +77,19 @@ func newListDiscoverySourceCmd() *cobra.Command {
 		Use:   "list",
 		Short: "List available discovery sources",
 		RunE: func(cmd *cobra.Command, args []string) error {
+			if !configlib.IsFeatureActivated(constants.FeatureDisableCentralRepositoryForTesting) {
+				output := component.NewOutputWriter(cmd.OutOrStdout(), outputFormat, "name", "image")
+				discoverySources, _ := configlib.GetCLIDiscoverySources()
+				for _, ds := range discoverySources {
+					if ds.OCI != nil {
+						output.AddRow(ds.OCI.Name, ds.OCI.Image)
+					}
+				}
+
+				output.Render()
+				return nil
+			}
+
 			output := component.NewOutputWriter(cmd.OutOrStdout(), outputFormat, "name", "type", "scope")
 
 			// List standalone scoped discoveries
@@ -143,23 +164,18 @@ func newUpdateDiscoverySourceCmd() *cobra.Command {
 		Use:   "update [name]",
 		Short: "Update a discovery source configuration",
 		Args:  cobra.ExactArgs(1),
-		Example: `
-    # Update a local discovery source. If URI is relative path, 
-    # $HOME/.config/tanzu-plugins will be considered base path
-    tanzu plugin source update standalone-local --type local --uri new/path/to/local/discovery
-
-    # Update an OCI discovery source. URI should be an OCI image.
-    tanzu plugin source update standalone-oci --type oci --uri projects.registry.vmware.com/tkg/tanzu-plugins/standalone:v1.0`,
-
 		RunE: func(cmd *cobra.Command, args []string) error {
 			discoveryName := args[0]
 
-			discoveryNoExistError := fmt.Errorf("discovery %q does not exist", discoveryName)
 			discoverySource, _ := configlib.GetCLIDiscoverySource(discoveryName)
 			if discoverySource == nil {
-				return discoveryNoExistError
+				return fmt.Errorf("discovery %q does not exist", discoveryName)
 			}
 
+			if !configlib.IsFeatureActivated(constants.FeatureDisableCentralRepositoryForTesting) {
+				// With the central discovery, there is no more --type flag
+				discoverySourceType = common.DiscoveryTypeOCI
+			}
 			newDiscoverySource, err := createDiscoverySource(discoverySourceType, discoveryName, uri)
 			if err != nil {
 				return err
@@ -174,6 +190,21 @@ func newUpdateDiscoverySourceCmd() *cobra.Command {
 			return nil
 		},
 	}
+
+	if !configlib.IsFeatureActivated(constants.FeatureDisableCentralRepositoryForTesting) {
+		updateDiscoverySourceCmd.Example = `
+    # Update the discovery source for an air-gapped scenario. The URI must be an OCI image.
+    tanzu plugin source update default --uri registry.example.com/tanzu/plugin-inventory:latest`
+	} else {
+		updateDiscoverySourceCmd.Example = `
+    # Update a local discovery source. If URI is relative path,
+    # $HOME/.config/tanzu-plugins will be considered base path
+    tanzu plugin source update standalone-local --type local --uri new/path/to/local/discovery
+
+    # Update an OCI discovery source. URI should be an OCI image.
+    tanzu plugin source update standalone-oci --type oci --uri projects.registry.vmware.com/tkg/tanzu-plugins/standalone:v1.0`
+	}
+
 	return updateDiscoverySourceCmd
 }
 
@@ -184,10 +215,15 @@ func newDeleteDiscoverySourceCmd() *cobra.Command {
 		Args:  cobra.ExactArgs(1),
 		Example: `
     # Delete a discovery source
-    tanzu plugin discovery delete standalone-oci`,
+    tanzu plugin discovery delete default`,
 		RunE: func(cmd *cobra.Command, args []string) (err error) {
 			discoveryName := args[0]
 
+			discoverySource, _ := configlib.GetCLIDiscoverySource(discoveryName)
+			if discoverySource == nil {
+				return fmt.Errorf("discovery %q does not exist", discoveryName)
+			}
+
 			err = configlib.DeleteCLIDiscoverySource(discoveryName)
 			if err != nil {
 				return err
@@ -198,6 +234,25 @@ func newDeleteDiscoverySourceCmd() *cobra.Command {
 	}
 	return deleteDiscoverySourceCmd
 }
+
+func newInitDiscoverySourceCmd() *cobra.Command {
+	var initDiscoverySourceCmd = &cobra.Command{
+		Use:   "init",
+		Short: "Initialize the discovery source to its default value",
+		Args:  cobra.MaximumNArgs(0),
+		RunE: func(cmd *cobra.Command, args []string) error {
+			err := config.PopulateDefaultCentralDiscovery(true)
+			if err != nil {
+				return err
+			}
+
+			log.Successf("successfully initialized discovery source")
+			return nil
+		},
+	}
+	return initDiscoverySourceCmd
+}
+
 func createDiscoverySource(dsType, dsName, uri string) (configtypes.PluginDiscovery, error) {
 	pluginDiscoverySource := configtypes.PluginDiscovery{}
 	if dsType == "" {
diff --git a/pkg/command/plugin_search_test.go b/pkg/command/plugin_search_test.go
index 3bf9c7bc5..360bf27ae 100644
--- a/pkg/command/plugin_search_test.go
+++ b/pkg/command/plugin_search_test.go
@@ -13,7 +13,6 @@ import (
 	"github.com/stretchr/testify/assert"
 
 	"github.com/vmware-tanzu/tanzu-cli/pkg/constants"
-	"github.com/vmware-tanzu/tanzu-cli/pkg/pluginmanager"
 	"github.com/vmware-tanzu/tanzu-plugin-runtime/config"
 )
 
@@ -68,10 +67,6 @@ func TestPluginSearch(t *testing.T) {
 	os.Setenv("TANZU_CONFIG_NEXT_GEN", configFileNG.Name())
 	os.Setenv("TANZU_CLI_CEIP_OPT_IN_PROMPT_ANSWER", "No")
 
-	// Bypass the environment variable for testing
-	err = os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, pluginmanager.PreReleasePluginRepoImageBypass)
-	assert.Nil(err)
-
 	featureArray := strings.Split(constants.FeatureContextCommand, ".")
 	err = config.SetFeature(featureArray[1], featureArray[2], "true")
 	assert.Nil(err)
diff --git a/pkg/command/plugin_test.go b/pkg/command/plugin_test.go
index 8a8cdef87..0cb6e5177 100644
--- a/pkg/command/plugin_test.go
+++ b/pkg/command/plugin_test.go
@@ -18,7 +18,6 @@ import (
 	"github.com/vmware-tanzu/tanzu-cli/pkg/cli"
 	"github.com/vmware-tanzu/tanzu-cli/pkg/common"
 	"github.com/vmware-tanzu/tanzu-cli/pkg/constants"
-	"github.com/vmware-tanzu/tanzu-cli/pkg/pluginmanager"
 	"github.com/vmware-tanzu/tanzu-plugin-runtime/config"
 	configtypes "github.com/vmware-tanzu/tanzu-plugin-runtime/config/types"
 	"github.com/vmware-tanzu/tanzu-plugin-runtime/plugin"
@@ -360,10 +359,6 @@ func TestInstallPlugin(t *testing.T) {
 	os.Setenv("TANZU_CONFIG_NEXT_GEN", tkgConfigFileNG.Name())
 	os.Setenv("TANZU_CLI_CEIP_OPT_IN_PROMPT_ANSWER", "No")
 
-	// Bypass the environment variable for testing
-	err = os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, pluginmanager.PreReleasePluginRepoImageBypass)
-	assert.Nil(err)
-
 	featureArray := strings.Split(constants.FeatureContextCommand, ".")
 	err = config.SetFeature(featureArray[1], featureArray[2], "true")
 	assert.Nil(err)
diff --git a/pkg/config/defaults.go b/pkg/config/defaults.go
index 8c99f25f0..09398dae5 100644
--- a/pkg/config/defaults.go
+++ b/pkg/config/defaults.go
@@ -126,13 +126,6 @@ func GetTrustedRegistries() []string {
 		trustedRegistries = append(trustedRegistries, customImageRepo)
 	}
 
-	// If the pre-release plugin repo variable is set, add its host to the list of trusted registries
-	if preReleaseRepoImage := os.Getenv(constants.ConfigVariablePreReleasePluginRepoImage); preReleaseRepoImage != "" {
-		if u, err := url.ParseRequestURI("https://" + preReleaseRepoImage); err == nil {
-			trustedRegistries = append(trustedRegistries, u.Hostname())
-		}
-	}
-
 	// Add default central plugin discovery image to the trusted registries
 	if u, err := url.ParseRequestURI("https://" + constants.TanzuCLIDefaultCentralPluginDiscoveryImage); err == nil {
 		trustedRegistries = append(trustedRegistries, u.Hostname())
diff --git a/pkg/config/defaults_test.go b/pkg/config/defaults_test.go
index efcc5a9f5..778927b26 100644
--- a/pkg/config/defaults_test.go
+++ b/pkg/config/defaults_test.go
@@ -25,19 +25,6 @@ var _ = Describe("defaults test cases", func() {
 			Expect(trustedRegis).NotTo(BeNil())
 			DefaultAllowedPluginRepositories = ""
 		})
-		It("trusted registries should include hostname of env var", func() {
-			testHost := "example.com"
-			oldValue := os.Getenv(constants.ConfigVariablePreReleasePluginRepoImage)
-			err := os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, testHost+"/test/path")
-			Expect(err).To(BeNil())
-
-			trustedRegis := GetTrustedRegistries()
-			Expect(trustedRegis).NotTo(BeNil())
-			Expect(trustedRegis).Should(ContainElement(testHost))
-
-			err = os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, oldValue)
-			Expect(err).To(BeNil())
-		})
 		It("trusted registries should include hostname of additional discoveries", func() {
 			testHost1 := "registry1.vmware.com"
 			testHost2 := "registry2.vmware.com"
@@ -51,7 +38,7 @@ var _ = Describe("defaults test cases", func() {
 			Expect(trustedRegis).Should(ContainElement(testHost1))
 			Expect(trustedRegis).Should(ContainElement(testHost2))
 
-			err = os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, oldValue)
+			err = os.Setenv(constants.ConfigVariableAdditionalDiscoveryForTesting, oldValue)
 			Expect(err).To(BeNil())
 		})
 		It("trusted registries should include hostname of default central discovery", func() {
diff --git a/pkg/config/discovery.go b/pkg/config/discovery.go
index 8150a6cdb..b224fd817 100644
--- a/pkg/config/discovery.go
+++ b/pkg/config/discovery.go
@@ -4,81 +4,28 @@
 package config
 
 import (
+	configlib "github.com/vmware-tanzu/tanzu-plugin-runtime/config"
 	configtypes "github.com/vmware-tanzu/tanzu-plugin-runtime/config/types"
 
-	"github.com/vmware-tanzu/tanzu-cli/pkg/common"
-	"github.com/vmware-tanzu/tanzu-cli/pkg/discovery"
-	"github.com/vmware-tanzu/tanzu-plugin-runtime/log"
+	"github.com/vmware-tanzu/tanzu-cli/pkg/constants"
 )
 
-func populateDefaultStandaloneDiscovery(c *configtypes.ClientConfig) bool {
-	if c.ClientOptions == nil {
-		c.ClientOptions = &configtypes.ClientOptions{}
-	}
-	if c.ClientOptions.CLI == nil {
-		c.ClientOptions.CLI = &configtypes.CLIOptions{}
-	}
-	if c.ClientOptions.CLI.DiscoverySources == nil {
-		c.ClientOptions.CLI.DiscoverySources = make([]configtypes.PluginDiscovery, 0)
-	}
-
-	defaultDiscovery := getDefaultStandaloneDiscoverySource(GetDefaultStandaloneDiscoveryType())
-	if defaultDiscovery == nil {
-		return false
-	}
-
-	matchIdx := findDiscoverySourceIndex(c.ClientOptions.CLI.DiscoverySources, func(pd configtypes.PluginDiscovery) bool {
-		return discovery.CheckDiscoveryName(pd, DefaultStandaloneDiscoveryName) ||
-			discovery.CheckDiscoveryName(pd, DefaultStandaloneDiscoveryNameLocal)
-	})
-
-	if matchIdx >= 0 {
-		if discovery.CompareDiscoverySource(c.ClientOptions.CLI.DiscoverySources[matchIdx], *defaultDiscovery, GetDefaultStandaloneDiscoveryType()) {
-			return false
+func PopulateDefaultCentralDiscovery(force bool) error {
+	discoverySources, _ := configlib.GetCLIDiscoverySources()
+
+	// Add the default central plugin discovery if it is not there.
+	// If len(discoverySources)==0, we don't add the central discovery;
+	// this allows a user to delete the default central discovery and not
+	// have the CLI add it again.  A user can then use "plugin source init"
+	// to add the default discovery again.
+	if force || discoverySources == nil {
+		defaultDiscovery := configtypes.PluginDiscovery{
+			OCI: &configtypes.OCIDiscovery{
+				Name:  DefaultStandaloneDiscoveryName,
+				Image: constants.TanzuCLIDefaultCentralPluginDiscoveryImage,
+			},
 		}
-		c.ClientOptions.CLI.DiscoverySources[matchIdx] = *defaultDiscovery
-		return true
+		return configlib.SetCLIDiscoverySource(defaultDiscovery)
 	}
-
-	// Prepend default discovery to available discovery sources
-	c.ClientOptions.CLI.DiscoverySources = append([]configtypes.PluginDiscovery{*defaultDiscovery}, c.ClientOptions.CLI.DiscoverySources...)
-	return true
-}
-
-func findDiscoverySourceIndex(discoverySources []configtypes.PluginDiscovery, matcherFunc func(pd configtypes.PluginDiscovery) bool) int {
-	for i := range discoverySources {
-		if matcherFunc(discoverySources[i]) {
-			return i
-		}
-	}
-	return -1 // haven't found a match
-}
-
-func getDefaultStandaloneDiscoverySource(dsType string) *configtypes.PluginDiscovery {
-	switch dsType {
-	case common.DiscoveryTypeLocal:
-		return getDefaultStandaloneDiscoverySourceLocal()
-	case common.DiscoveryTypeOCI:
-		return getDefaultStandaloneDiscoverySourceOCI()
-	}
-	log.Warning("unsupported default standalone discovery configuration")
 	return nil
 }
-
-func getDefaultStandaloneDiscoverySourceOCI() *configtypes.PluginDiscovery {
-	return &configtypes.PluginDiscovery{
-		OCI: &configtypes.OCIDiscovery{
-			Name:  DefaultStandaloneDiscoveryName,
-			Image: GetDefaultStandaloneDiscoveryImage(),
-		},
-	}
-}
-
-func getDefaultStandaloneDiscoverySourceLocal() *configtypes.PluginDiscovery {
-	return &configtypes.PluginDiscovery{
-		Local: &configtypes.LocalDiscovery{
-			Name: DefaultStandaloneDiscoveryNameLocal,
-			Path: GetDefaultStandaloneDiscoveryLocalPath(),
-		},
-	}
-}
diff --git a/pkg/config/discovery_test.go b/pkg/config/discovery_test.go
index 303d0a25e..f2b6a0a51 100644
--- a/pkg/config/discovery_test.go
+++ b/pkg/config/discovery_test.go
@@ -5,146 +5,167 @@ package config
 
 import (
 	"os"
-	"testing"
+	"strings"
 
-	"github.com/tj/assert"
-
-	configtypes "github.com/vmware-tanzu/tanzu-plugin-runtime/config/types"
+	. "github.com/onsi/ginkgo/v2"
+	. "github.com/onsi/gomega"
 
 	"github.com/vmware-tanzu/tanzu-cli/pkg/constants"
+	configlib "github.com/vmware-tanzu/tanzu-plugin-runtime/config"
+	"github.com/vmware-tanzu/tanzu-plugin-runtime/config/types"
 )
 
-func TestConfigPopulateDefaultStandaloneDiscovery(t *testing.T) {
-	cfg := &configtypes.ClientConfig{
-		ClientOptions: &configtypes.ClientOptions{
-			CLI: &configtypes.CLIOptions{
-				DiscoverySources: []configtypes.PluginDiscovery{},
-			},
-		},
-	}
-	configureTestDefaultStandaloneDiscoveryOCI()
-
-	assert := assert.New(t)
-
-	added := populateDefaultStandaloneDiscovery(cfg)
-	assert.Equal(true, added)
-	assert.Equal(len(cfg.ClientOptions.CLI.DiscoverySources), 1)
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[0].OCI.Name, DefaultStandaloneDiscoveryName)
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[0].OCI.Image, "fake.image.repo/package/standalone-plugins:v1.0.0")
-}
-
-func TestConfigPopulateDefaultStandaloneDiscoveryWhenDefaultDiscoveryExistsAndIsSame(t *testing.T) {
-	cfg := &configtypes.ClientConfig{
-		ClientOptions: &configtypes.ClientOptions{
-			CLI: &configtypes.CLIOptions{
-				DiscoverySources: []configtypes.PluginDiscovery{
-					configtypes.PluginDiscovery{
-						OCI: &configtypes.OCIDiscovery{
-							Name:  DefaultStandaloneDiscoveryName,
-							Image: "fake.image.repo/package/standalone-plugins:v1.0.0",
-						},
-					},
-				},
-			},
-		},
-	}
-	configureTestDefaultStandaloneDiscoveryOCI()
-
-	assert := assert.New(t)
-
-	added := populateDefaultStandaloneDiscovery(cfg)
-	assert.Equal(false, added)
-	assert.Equal(len(cfg.ClientOptions.CLI.DiscoverySources), 1)
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[0].OCI.Name, DefaultStandaloneDiscoveryName)
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[0].OCI.Image, "fake.image.repo/package/standalone-plugins:v1.0.0")
-}
-
-func TestConfigPopulateDefaultStandaloneDiscoveryWhenDefaultDiscoveryExistsAndIsNotSame(t *testing.T) {
-	cfg := &configtypes.ClientConfig{
-		ClientOptions: &configtypes.ClientOptions{
-			CLI: &configtypes.CLIOptions{
-				DiscoverySources: []configtypes.PluginDiscovery{
-					configtypes.PluginDiscovery{
-						OCI: &configtypes.OCIDiscovery{
-							Name:  DefaultStandaloneDiscoveryName,
-							Image: "fake.image/path:v2.0.0",
-						},
-					},
-					configtypes.PluginDiscovery{
-						OCI: &configtypes.OCIDiscovery{
-							Name:  "additional-discovery",
-							Image: "additional-discovery/path:v1.0.0",
-						},
-					},
+var _ = Describe("Populate default central discovery", func() {
+	var (
+		configFile   *os.File
+		configFileNG *os.File
+		err          error
+	)
+	BeforeEach(func() {
+		configFile, err = os.CreateTemp("", "config")
+		Expect(err).To(BeNil())
+		os.Setenv("TANZU_CONFIG", configFile.Name())
+
+		configFileNG, err = os.CreateTemp("", "config_ng")
+		Expect(err).To(BeNil())
+		os.Setenv("TANZU_CONFIG_NEXT_GEN", configFileNG.Name())
+		os.Setenv("TANZU_CLI_CEIP_OPT_IN_PROMPT_ANSWER", "No")
+
+		featureArray := strings.Split(constants.FeatureContextCommand, ".")
+		err = configlib.SetFeature(featureArray[1], featureArray[2], "true")
+		Expect(err).To(BeNil())
+	})
+	AfterEach(func() {
+		os.Unsetenv("TANZU_CONFIG")
+		os.Unsetenv("TANZU_CONFIG_NEXT_GEN")
+		os.Unsetenv("TANZU_CLI_CEIP_OPT_IN_PROMPT_ANSWER")
+		os.RemoveAll(configFile.Name())
+		os.RemoveAll(configFileNG.Name())
+	})
+	Context("when no discovery exists", func() {
+		It("should create the default central discovery when 'force==false'", func() {
+			err = PopulateDefaultCentralDiscovery(false)
+			Expect(err).To(BeNil())
+
+			discoverySources, err := configlib.GetCLIDiscoverySources()
+			Expect(err).To(BeNil())
+			Expect(len(discoverySources)).To(Equal(1))
+			// It should be an OCI discovery with a specific name and image
+			Expect(discoverySources[0].OCI).ToNot(BeNil())
+			Expect(discoverySources[0].OCI.Name).To(Equal(DefaultStandaloneDiscoveryName))
+			Expect(discoverySources[0].OCI.Image).To(Equal(constants.TanzuCLIDefaultCentralPluginDiscoveryImage))
+		})
+		It("should create the default central discovery when 'force==true'", func() {
+			err = PopulateDefaultCentralDiscovery(true)
+			Expect(err).To(BeNil())
+
+			discoverySources, err := configlib.GetCLIDiscoverySources()
+			Expect(err).To(BeNil())
+			Expect(len(discoverySources)).To(Equal(1))
+			// It should be an OCI discovery with a specific name and image
+			Expect(discoverySources[0].OCI).ToNot(BeNil())
+			Expect(discoverySources[0].OCI.Name).To(Equal(DefaultStandaloneDiscoveryName))
+			Expect(discoverySources[0].OCI.Image).To(Equal(constants.TanzuCLIDefaultCentralPluginDiscoveryImage))
+		})
+	})
+	Context("when the default discovery already exists", func() {
+		BeforeEach(func() {
+			err = PopulateDefaultCentralDiscovery(false)
+			Expect(err).To(BeNil())
+		})
+		It("should keep the default central discovery when 'force==false'", func() {
+			err = PopulateDefaultCentralDiscovery(false)
+			Expect(err).To(BeNil())
+
+			discoverySources, err := configlib.GetCLIDiscoverySources()
+			Expect(err).To(BeNil())
+			Expect(len(discoverySources)).To(Equal(1))
+			// It should be an OCI discovery with a specific name and image
+			Expect(discoverySources[0].OCI).ToNot(BeNil())
+			Expect(discoverySources[0].OCI.Name).To(Equal(DefaultStandaloneDiscoveryName))
+			Expect(discoverySources[0].OCI.Image).To(Equal(constants.TanzuCLIDefaultCentralPluginDiscoveryImage))
+		})
+		It("should keep the default central discovery when 'force==true'", func() {
+			err = PopulateDefaultCentralDiscovery(true)
+			Expect(err).To(BeNil())
+
+			discoverySources, err := configlib.GetCLIDiscoverySources()
+			Expect(err).To(BeNil())
+			Expect(len(discoverySources)).To(Equal(1))
+			// It should be an OCI discovery with a specific name and image
+			Expect(discoverySources[0].OCI).ToNot(BeNil())
+			Expect(discoverySources[0].OCI.Name).To(Equal(DefaultStandaloneDiscoveryName))
+			Expect(discoverySources[0].OCI.Image).To(Equal(constants.TanzuCLIDefaultCentralPluginDiscoveryImage))
+		})
+	})
+	Context("when a different discovery already exists", func() {
+		const imageName = "different/image"
+		BeforeEach(func() {
+			err := configlib.SetCLIDiscoverySource(types.PluginDiscovery{
+				OCI: &types.OCIDiscovery{
+					Name:  DefaultStandaloneDiscoveryName,
+					Image: imageName,
 				},
-			},
-		},
-	}
-	configureTestDefaultStandaloneDiscoveryOCI()
-
-	assert := assert.New(t)
-
-	added := populateDefaultStandaloneDiscovery(cfg)
-	assert.Equal(true, added)
-	assert.Equal(len(cfg.ClientOptions.CLI.DiscoverySources), 2)
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[0].OCI.Name, DefaultStandaloneDiscoveryName)
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[0].OCI.Image, "fake.image.repo/package/standalone-plugins:v1.0.0")
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[1].OCI.Name, "additional-discovery")
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[1].OCI.Image, "additional-discovery/path:v1.0.0")
-}
-
-func TestConfigPopulateDefaultStandaloneDiscoveryLocal(t *testing.T) {
-	cfg := &configtypes.ClientConfig{
-		ClientOptions: &configtypes.ClientOptions{
-			CLI: &configtypes.CLIOptions{
-				DiscoverySources: []configtypes.PluginDiscovery{},
-			},
-		},
-	}
-
-	configureTestDefaultStandaloneDiscoveryLocal()
-
-	assert := assert.New(t)
-
-	added := populateDefaultStandaloneDiscovery(cfg)
-	assert.Equal(true, added)
-	assert.Equal(len(cfg.ClientOptions.CLI.DiscoverySources), 1)
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[0].Local.Name, DefaultStandaloneDiscoveryNameLocal)
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[0].Local.Path, "local/path")
-}
-
-func TestConfigPopulateDefaultStandaloneDiscoveryEnvVariables(t *testing.T) {
-	cfg := &configtypes.ClientConfig{
-		ClientOptions: &configtypes.ClientOptions{
-			CLI: &configtypes.CLIOptions{
-				DiscoverySources: []configtypes.PluginDiscovery{},
-			},
-		},
-	}
-
-	configureTestDefaultStandaloneDiscoveryOCI()
-
-	os.Setenv(constants.ConfigVariableCustomImageRepository, "env.fake.image.repo")
-	os.Setenv(constants.ConfigVariableDefaultStandaloneDiscoveryImagePath, "package/env/standalone-plugins")
-	os.Setenv(constants.ConfigVariableDefaultStandaloneDiscoveryImageTag, "v2.0.0")
-
-	assert := assert.New(t)
-
-	added := populateDefaultStandaloneDiscovery(cfg)
-	assert.Equal(true, added)
-	assert.Equal(len(cfg.ClientOptions.CLI.DiscoverySources), 1)
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[0].OCI.Name, DefaultStandaloneDiscoveryName)
-	assert.Equal(cfg.ClientOptions.CLI.DiscoverySources[0].OCI.Image, "env.fake.image.repo/package/env/standalone-plugins:v2.0.0")
-}
-
-func configureTestDefaultStandaloneDiscoveryOCI() {
-	DefaultStandaloneDiscoveryType = "oci"
-	DefaultStandaloneDiscoveryRepository = "fake.image.repo"
-	DefaultStandaloneDiscoveryImagePath = "package/standalone-plugins"
-	DefaultStandaloneDiscoveryImageTag = "v1.0.0"
-}
-
-func configureTestDefaultStandaloneDiscoveryLocal() {
-	DefaultStandaloneDiscoveryType = "local"
-	DefaultStandaloneDiscoveryLocalPath = "local/path"
-}
+			})
+			Expect(err).To(BeNil())
+		})
+		It("should keep the existing discovery when 'force==false'", func() {
+			err = PopulateDefaultCentralDiscovery(false)
+			Expect(err).To(BeNil())
+
+			discoverySources, err := configlib.GetCLIDiscoverySources()
+			Expect(err).To(BeNil())
+			Expect(len(discoverySources)).To(Equal(1))
+			// It should be an OCI discovery with a specific name and image
+			Expect(discoverySources[0].OCI).ToNot(BeNil())
+			Expect(discoverySources[0].OCI.Name).To(Equal(DefaultStandaloneDiscoveryName))
+			Expect(discoverySources[0].OCI.Image).To(Equal(imageName))
+		})
+		It("should replace the existing discovery when 'force==true'", func() {
+			err = PopulateDefaultCentralDiscovery(true)
+			Expect(err).To(BeNil())
+
+			discoverySources, err := configlib.GetCLIDiscoverySources()
+			Expect(err).To(BeNil())
+			Expect(len(discoverySources)).To(Equal(1))
+			// It should be an OCI discovery with a specific name and image
+			Expect(discoverySources[0].OCI).ToNot(BeNil())
+			Expect(discoverySources[0].OCI.Name).To(Equal(DefaultStandaloneDiscoveryName))
+			Expect(discoverySources[0].OCI.Image).To(Equal(constants.TanzuCLIDefaultCentralPluginDiscoveryImage))
+		})
+	})
+	Context("when a the default central discovery was deleted by the user", func() {
+		BeforeEach(func() {
+			err = PopulateDefaultCentralDiscovery(false)
+			Expect(err).To(BeNil())
+
+			err := configlib.DeleteCLIDiscoverySource(DefaultStandaloneDiscoveryName)
+			Expect(err).To(BeNil())
+			discoverySources, err := configlib.GetCLIDiscoverySources()
+			Expect(err).To(BeNil())
+			Expect(discoverySources).ToNot(BeNil())
+			Expect(len(discoverySources)).To(Equal(0))
+		})
+		It("should not add the default discovery when 'force==false'", func() {
+			err = PopulateDefaultCentralDiscovery(false)
+			Expect(err).To(BeNil())
+
+			discoverySources, err := configlib.GetCLIDiscoverySources()
+			Expect(err).To(BeNil())
+			Expect(discoverySources).ToNot(BeNil())
+			Expect(len(discoverySources)).To(Equal(0))
+		})
+		It("should add the default discovery when 'force==true'", func() {
+			err = PopulateDefaultCentralDiscovery(true)
+			Expect(err).To(BeNil())
+
+			discoverySources, err := configlib.GetCLIDiscoverySources()
+			Expect(err).To(BeNil())
+			Expect(len(discoverySources)).To(Equal(1))
+			// It should be an OCI discovery with a specific name and image
+			Expect(discoverySources[0].OCI).ToNot(BeNil())
+			Expect(discoverySources[0].OCI.Name).To(Equal(DefaultStandaloneDiscoveryName))
+			Expect(discoverySources[0].OCI.Image).To(Equal(constants.TanzuCLIDefaultCentralPluginDiscoveryImage))
+		})
+	})
+})
diff --git a/pkg/config/init.go b/pkg/config/init.go
index 08a23f371..75cb98a08 100644
--- a/pkg/config/init.go
+++ b/pkg/config/init.go
@@ -13,16 +13,11 @@ import (
 func init() {
 	// Acquire tanzu config lock
 	config.AcquireTanzuConfigLock()
-	defer config.ReleaseTanzuConfigLock()
 
 	c, err := config.GetClientConfigNoLock()
 	if err != nil {
 		log.Warningf("unable to get client config: %v", err)
 	}
-	// Note: Commenting the below line since CLI wouldn't support any default discovery going forward.
-	//      Users have to add the discovery sources by using `tanzu plugin source add` command
-	// TODO: update/delete the below line after CLI make changes related to centralized repository
-	// addedDefaultDiscovery := populateDefaultStandaloneDiscovery(c)
 	addedFeatureFlags := AddDefaultFeatureFlagsIfMissing(c, constants.DefaultCliFeatureFlags)
 	addedEdition := addDefaultEditionIfMissing(c)
 	addedBomRepo := AddBomRepoIfMissing(c)
@@ -33,4 +28,15 @@ func init() {
 	if addedFeatureFlags || addedEdition || addedCompatabilityFile || addedBomRepo || addedContexts {
 		_ = config.StoreClientConfig(c)
 	}
+
+	// We need to release the config lock before call ing PopulateDefaultCentralDiscovery() because
+	// PopulateDefaultCentralDiscovery() handles the locking of the config file itself by
+	// using the config file higher-level APIs
+	config.ReleaseTanzuConfigLock()
+
+	// Can only check for config.IsFeatureActivated() once the feature flags are setup
+	// by the above calls.
+	if !config.IsFeatureActivated(constants.FeatureDisableCentralRepositoryForTesting) {
+		_ = PopulateDefaultCentralDiscovery(false)
+	}
 }
diff --git a/pkg/constants/env_variables.go b/pkg/constants/env_variables.go
index ba05f0fab..9e936a5d0 100644
--- a/pkg/constants/env_variables.go
+++ b/pkg/constants/env_variables.go
@@ -10,7 +10,6 @@ const (
 
 const (
 	AllowedRegistries                           = "ALLOWED_REGISTRY"
-	ConfigVariablePreReleasePluginRepoImage     = "TANZU_CLI_PRE_RELEASE_REPO_IMAGE"
 	ConfigVariableAdditionalDiscoveryForTesting = "TANZU_CLI_ADDITIONAL_PLUGIN_DISCOVERY_IMAGES_TEST_ONLY"
 	// PluginDiscoveryImageSignatureVerificationSkipList is a comma separated list of discovery image urls
 	PluginDiscoveryImageSignatureVerificationSkipList = "TANZU_CLI_PLUGIN_DISCOVERY_IMAGE_SIGNATURE_VERIFICATION_SKIP_LIST"
diff --git a/pkg/pluginmanager/manager.go b/pkg/pluginmanager/manager.go
index 292ab7278..1fda78bc2 100644
--- a/pkg/pluginmanager/manager.go
+++ b/pkg/pluginmanager/manager.go
@@ -49,8 +49,6 @@ const (
 	PluginManifestFileName = "plugin_manifest.yaml"
 	// PluginFileName is the file name for the plugin info.
 	PluginFileName = "plugin.yaml"
-
-	PreReleasePluginRepoImageBypass = "TEST_BYPASS"
 )
 
 var execCommand = exec.Command
@@ -199,31 +197,6 @@ func DiscoverPluginGroups() ([]*discovery.DiscoveredPluginGroups, error) {
 	return discoverPluginGroups(discoveries)
 }
 
-// getPreReleasePluginDiscovery
-// For pre-releases CLI points to a default staging central plugin discovery image
-// from where the CLI will discover plugins.
-// For pre-releases, CLI also allows default discovery image to be overridden by using
-// an environment variable and pointing to the different repository of plugins.
-//
-// This is because the configuration cfg.ClientOptions.CLI.DiscoverySources
-// is read by older CLIs so we don't want to modify it.
-// TODO(khouzam): remove before 1.0
-func getPreReleasePluginDiscovery() ([]configtypes.PluginDiscovery, error) {
-	centralRepoTestImage := os.Getenv(constants.ConfigVariablePreReleasePluginRepoImage)
-	if centralRepoTestImage == "" {
-		centralRepoTestImage = constants.TanzuCLIDefaultCentralPluginDiscoveryImage
-	} else if centralRepoTestImage == PreReleasePluginRepoImageBypass {
-		return nil, nil
-	}
-	return []configtypes.PluginDiscovery{
-		{
-			OCI: &configtypes.OCIDiscovery{
-				Name:  "default",
-				Image: centralRepoTestImage,
-			},
-		}}, nil
-}
-
 // getAdditionalTestPluginDiscoveries returns an array of plugin discoveries that
 // are meant to be used for testing new plugin version.  The comma-separated list of
 // such discoveries can be specified through the environment variable
@@ -1505,28 +1478,12 @@ func getPluginDiscoveries() ([]configtypes.PluginDiscovery, error) {
 	if !configlib.IsFeatureActivated(constants.FeatureDisableCentralRepositoryForTesting) {
 		// Look for testing discoveries.  Those should be stored and searched AFTER the central repo.
 		testDiscoveries = getAdditionalTestPluginDiscoveries()
-
-		// Look for the pre-release Central Repository discovery
-		pd, err := getPreReleasePluginDiscovery()
-		if err != nil {
-			return testDiscoveries, err
-		}
-		// If pd is nil without an error, we bypass the prerelease discovery
-		// and fallback to the normal plugin source configuration.
-		if pd != nil {
-			// The central repository discovery MUST be searched first
-			// so we insert before the test discoveries
-			return append(pd, testDiscoveries...), nil
-		}
 	}
 
-	discoverySources, _ := configlib.GetCLIDiscoverySources()
-	if discoverySources == nil {
-		return testDiscoveries, nil
-	}
 	// The configured discoveries should be searched BEFORE the test discoveries.
 	// For example, if the staging central repo is added as a test discovery, it
 	// may contain older versions of a plugin that is now published to the production
 	// central repo; we therefore need to search the test discoveries last.
+	discoverySources, _ := configlib.GetCLIDiscoverySources()
 	return append(discoverySources, testDiscoveries...), nil
 }
diff --git a/pkg/pluginmanager/manager_helper_test.go b/pkg/pluginmanager/manager_helper_test.go
index c458e7cdd..85a4aa3bf 100644
--- a/pkg/pluginmanager/manager_helper_test.go
+++ b/pkg/pluginmanager/manager_helper_test.go
@@ -57,10 +57,10 @@ func setupLocalDistroForTesting() func() {
 	common.DefaultLocalPluginDistroDir = filepath.Join(tmpDir, "distro")
 	common.DefaultCacheDir = filepath.Join(tmpDir, "cache")
 
-	tkgConfigFile := filepath.Join(tmpDir, "tanzu_config.yaml")
-	tkgConfigNextGenFile := filepath.Join(tmpDir, "tanzu_config_ng.yaml")
-	os.Setenv("TANZU_CONFIG", tkgConfigFile)
-	os.Setenv("TANZU_CONFIG_NEXT_GEN", tkgConfigNextGenFile)
+	configFile := filepath.Join(tmpDir, "tanzu_config.yaml")
+	configNextGenFile := filepath.Join(tmpDir, "tanzu_config_ng.yaml")
+	os.Setenv("TANZU_CONFIG", configFile)
+	os.Setenv("TANZU_CONFIG_NEXT_GEN", configNextGenFile)
 	os.Setenv("HOME", tmpHomeDir)
 
 	err = copy.Copy(filepath.Join("test", "local"), common.DefaultLocalPluginDistroDir)
@@ -68,12 +68,12 @@ func setupLocalDistroForTesting() func() {
 		log.Fatal(err, "Error while setting local distro for testing")
 	}
 
-	err = copy.Copy(filepath.Join("test", "config.yaml"), tkgConfigFile)
+	err = copy.Copy(filepath.Join("test", "config.yaml"), configFile)
 	if err != nil {
 		log.Fatal(err, "Error while coping tanzu config file for testing")
 	}
 
-	err = copy.Copy(filepath.Join("test", "config-ng.yaml"), tkgConfigNextGenFile)
+	err = copy.Copy(filepath.Join("test", "config-ng.yaml"), configNextGenFile)
 	if err != nil {
 		log.Fatal(err, "Error while coping tanzu config next gen file for testing")
 	}
diff --git a/pkg/pluginmanager/manager_test.go b/pkg/pluginmanager/manager_test.go
index b48a0172b..7fc64809d 100644
--- a/pkg/pluginmanager/manager_test.go
+++ b/pkg/pluginmanager/manager_test.go
@@ -91,8 +91,6 @@ func Test_DiscoverPlugins(t *testing.T) {
 	assertions := assert.New(t)
 
 	defer setupLocalDistroForTesting()()
-	err := os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, PreReleasePluginRepoImageBypass)
-	assertions.Nil(err)
 
 	serverPlugins, standalonePlugins := DiscoverPlugins()
 	assertions.Equal(len(expectedDiscoveredContextPlugins), len(serverPlugins))
@@ -109,7 +107,7 @@ func Test_DiscoverPlugins(t *testing.T) {
 		assertions.Equal(expectedDiscoveredPlugins[i].Target, p.Target)
 	}
 
-	err = configlib.SetFeature("global", "context-target-v2", "false")
+	err := configlib.SetFeature("global", "context-target-v2", "false")
 	assertions.Nil(err)
 
 	serverPlugins, standalonePlugins = DiscoverPlugins()
@@ -227,16 +225,12 @@ func Test_InstallPlugin_InstalledPlugins_No_Central_Repo(t *testing.T) {
 func Test_InstallPlugin_InstalledPlugins_Central_Repo(t *testing.T) {
 	assertions := assert.New(t)
 
-	// Bypass the environment variable for testing
-	err := os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, PreReleasePluginRepoImageBypass)
-	assertions.Nil(err)
-
 	defer setupLocalDistroForTesting()()
 	execCommand = fakeInfoExecCommand
 	defer func() { execCommand = exec.Command }()
 
 	// Try installing nonexistent plugin
-	err = InstallStandalonePlugin("not-exists", "v0.2.0", configtypes.TargetUnknown)
+	err := InstallStandalonePlugin("not-exists", "v0.2.0", configtypes.TargetUnknown)
 	assertions.NotNil(err)
 	assertions.Contains(err.Error(), "unable to find plugin 'not-exists'")
 
@@ -321,10 +315,6 @@ func Test_InstallPlugin_InstalledPlugins_Central_Repo(t *testing.T) {
 func Test_InstallPluginFromGroup(t *testing.T) {
 	assertions := assert.New(t)
 
-	// Bypass the environment variable for testing
-	err := os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, PreReleasePluginRepoImageBypass)
-	assertions.Nil(err)
-
 	defer setupLocalDistroForTesting()()
 	execCommand = fakeInfoExecCommand
 	defer func() { execCommand = exec.Command }()
@@ -332,7 +322,7 @@ func Test_InstallPluginFromGroup(t *testing.T) {
 	// A local discovery currently does not support groups, but we can
 	// at least do negative testing
 	groupID := "vmware-tkg/v2.1.0"
-	err = InstallPluginsFromGroup("cluster", groupID)
+	err := InstallPluginsFromGroup("cluster", groupID)
 	assertions.NotNil(err)
 	assertions.Contains(err.Error(), fmt.Sprintf("could not find group '%s'", groupID))
 }
@@ -340,10 +330,6 @@ func Test_InstallPluginFromGroup(t *testing.T) {
 func Test_DiscoverPluginGroups(t *testing.T) {
 	assertions := assert.New(t)
 
-	// Bypass the environment variable for testing
-	err := os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, PreReleasePluginRepoImageBypass)
-	assertions.Nil(err)
-
 	defer setupLocalDistroForTesting()()
 	execCommand = fakeInfoExecCommand
 	defer func() { execCommand = exec.Command }()
@@ -359,9 +345,6 @@ func Test_AvailablePlugins(t *testing.T) {
 	assertions := assert.New(t)
 
 	defer setupLocalDistroForTesting()()
-	// Bypass the environment variable for testing
-	err := os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, PreReleasePluginRepoImageBypass)
-	assertions.Nil(err)
 
 	expectedDiscoveredPlugins := append(expectedDiscoveredContextPlugins, expectedDiscoveredStandalonePlugins...)
 	discoveredPlugins, err := AvailablePlugins()
@@ -463,9 +446,6 @@ func Test_AvailablePlugins_With_K8s_None_Target_Plugin_Name_Conflict_With_One_In
 	assertions := assert.New(t)
 
 	defer setupLocalDistroForTesting()()
-	// Bypass the environment variable for testing
-	err := os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, PreReleasePluginRepoImageBypass)
-	assertions.Nil(err)
 
 	expectedDiscoveredPlugins := append(expectedDiscoveredContextPlugins, expectedDiscoveredStandalonePlugins...)
 	discoveredPlugins, err := AvailablePlugins()
@@ -519,9 +499,6 @@ func Test_AvailablePlugins_With_K8s_None_Target_Plugin_Name_Conflict_With_Plugin
 	assertions := assert.New(t)
 
 	defer setupLocalDistroForTesting()()
-	// Bypass the environment variable for testing
-	err := os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, PreReleasePluginRepoImageBypass)
-	assertions.Nil(err)
 
 	expectedDiscoveredPlugins := append(expectedDiscoveredContextPlugins, expectedDiscoveredStandalonePlugins...)
 	discoveredPlugins, err := AvailablePlugins()
@@ -689,12 +666,9 @@ func Test_DescribePlugin(t *testing.T) {
 	assertions := assert.New(t)
 
 	defer setupLocalDistroForTesting()()
-	// Bypass the environment variable for testing
-	err := os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, PreReleasePluginRepoImageBypass)
-	assertions.Nil(err)
 
 	// Try to describe plugin when plugin is not installed
-	_, err = DescribePlugin("login", configtypes.TargetUnknown)
+	_, err := DescribePlugin("login", configtypes.TargetUnknown)
 	assertions.NotNil(err)
 	assertions.Contains(err.Error(), "unable to find plugin 'login'")
 
@@ -733,12 +707,9 @@ func Test_DeletePlugin(t *testing.T) {
 	assertions := assert.New(t)
 
 	defer setupLocalDistroForTesting()()
-	// Bypass the environment variable for testing
-	err := os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage, PreReleasePluginRepoImageBypass)
-	assertions.Nil(err)
 
 	// Try to delete plugin when plugin is not installed
-	err = DeletePlugin(DeletePluginOptions{PluginName: "cluster", Target: configtypes.TargetTMC, ForceDelete: true})
+	err := DeletePlugin(DeletePluginOptions{PluginName: "cluster", Target: configtypes.TargetTMC, ForceDelete: true})
 	assertions.NotNil(err)
 	assertions.Contains(err.Error(), "unable to find plugin 'cluster'")
 
@@ -1366,11 +1337,6 @@ func TestGetPluginDiscoveries(t *testing.T) {
 	err := os.Setenv(constants.ConfigVariableAdditionalDiscoveryForTesting, "")
 	assertions.Nil(err)
 
-	// Bypass the temporary pre-release variable
-	err = os.Setenv(constants.ConfigVariablePreReleasePluginRepoImage,
-		PreReleasePluginRepoImageBypass)
-	assertions.Nil(err)
-
 	discoveries, err := getPluginDiscoveries()
 	assertions.Nil(err)
 	assertions.Equal(2, len(discoveries))
diff --git a/pkg/pluginmanager/test/config-ng.yaml b/pkg/pluginmanager/test/config-ng.yaml
index 8a588836f..9f597f2cf 100644
--- a/pkg/pluginmanager/test/config-ng.yaml
+++ b/pkg/pluginmanager/test/config-ng.yaml
@@ -1,3 +1,11 @@
+cli:
+  discoverySources:
+    - local:
+        name: default-local
+        path: default
+    - local:
+        name: fake
+        path: standalone
 currentContext:
   kubernetes: mgmt
   mission-control: tmc-fake
diff --git a/pkg/pluginmanager/test/config.yaml b/pkg/pluginmanager/test/config.yaml
index 8874a0d42..c2ecbd624 100644
--- a/pkg/pluginmanager/test/config.yaml
+++ b/pkg/pluginmanager/test/config.yaml
@@ -1,14 +1,4 @@
 apiVersion: config.tanzu.vmware.com/v1alpha1
-clientOptions:
-  cli:
-    discoverySources:
-      - local:
-          name: default-local
-          path: default
-      - local:
-          name: fake
-          path: standalone
-    useContextAwareDiscovery: true
 current: mgmt
 currentContext:
   kubernetes: mgmt
diff --git a/test/e2e/Makefile b/test/e2e/Makefile
index 07f4fd2a4..076a655ef 100644
--- a/test/e2e/Makefile
+++ b/test/e2e/Makefile
@@ -42,9 +42,10 @@ e2e-cli-plugin-compatibility-test:
 	@if [ "${TANZU_CLI_E2E_TEST_CENTRAL_REPO_URL}" = "" ]; then \
 		echo "***Skipping Plugin Compatibility test cases because environment variables TANZU_CLI_E2E_TEST_CENTRAL_REPO_URL is not set***" ; \
 	else \
-		export TANZU_CLI_PRE_RELEASE_REPO_IMAGE=$(TANZU_CLI_E2E_TEST_CENTRAL_REPO_URL) ; \
+		export TANZU_CLI_E2E_TEST_CENTRAL_REPO_URL=$(TANZU_CLI_E2E_TEST_CENTRAL_REPO_URL) ; \
 		export TANZU_CLI_PLUGIN_DISCOVERY_IMAGE_SIGNATURE_VERIFICATION_SKIP_LIST=$(TANZU_CLI_E2E_TEST_CENTRAL_REPO_URL) ; \
 		export TANZU_CLI_CEIP_OPT_IN_PROMPT_ANSWER="Yes" ; \
+		export ALLOWED_REGISTRY=$$(echo ${TANZU_CLI_E2E_TEST_CENTRAL_REPO_URL} | cut -f1 -d/ | cut -f1 -d:) ; \
 		${GO} test ${ROOT_DIR}/test/e2e/plugins_compatibility -timeout ${E2E_TEST_TIMEOUT} -race -coverprofile ${E2E_TEST_OUTPUT} ${GOTEST_VERBOSE} ; \
 	fi 
 
@@ -54,9 +55,9 @@ e2e-cli-plugin-lifecycle-sync-test:
 		echo "***Skipping Plugin life cycle test cases because environment variables TANZU_CLI_E2E_TEST_LOCAL_CENTRAL_REPO_URL is not set***" ; \
 	else \
 		export TANZU_CLI_E2E_TEST_LOCAL_CENTRAL_REPO_URL=$(TANZU_CLI_E2E_TEST_LOCAL_CENTRAL_REPO_URL) ; \
-		export TANZU_CLI_PRE_RELEASE_REPO_IMAGE=$(TANZU_CLI_E2E_TEST_LOCAL_CENTRAL_REPO_URL) ; \
 		export TANZU_CLI_PLUGIN_DISCOVERY_IMAGE_SIGNATURE_VERIFICATION_SKIP_LIST=$(TANZU_CLI_E2E_TEST_LOCAL_CENTRAL_REPO_URL) ; \
 		export TANZU_CLI_CEIP_OPT_IN_PROMPT_ANSWER="Yes" ; \
+		export ALLOWED_REGISTRY=$$(echo ${TANZU_CLI_E2E_TEST_LOCAL_CENTRAL_REPO_URL} | cut -f1 -d/ | cut -f1 -d:) ; \
 		${GO} test ${ROOT_DIR}/test/e2e/plugin_lifecycle -timeout ${E2E_TEST_TIMEOUT} -race -coverprofile ${E2E_TEST_OUTPUT} ${GOTEST_VERBOSE} ; \
 		${GO} test ${ROOT_DIR}/test/e2e/plugin_sync -timeout ${E2E_TEST_TIMEOUT} -race -coverprofile ${E2E_TEST_OUTPUT} ${GOTEST_VERBOSE} ; \
 	fi
diff --git a/test/e2e/README.md b/test/e2e/README.md
index 7d8af303c..aec1c9acf 100644
--- a/test/e2e/README.md
+++ b/test/e2e/README.md
@@ -109,9 +109,6 @@ type PluginBasicOps interface {
 }
 // PluginSourceOps helps 'plugin source' commands
 type PluginSourceOps interface {
-    // AddPluginDiscoverySource adds plugin discovery source, and returns stdOut and error info
-    AddPluginDiscoverySource(discoveryOpts *DiscoveryOptions) (string, error)
-
     // UpdatePluginDiscoverySource updates plugin discovery source, and returns stdOut and error info
     UpdatePluginDiscoverySource(discoveryOpts *DiscoveryOptions) (string, error)
 
@@ -120,6 +117,9 @@ type PluginSourceOps interface {
 
     // ListPluginSources returns all available plugin discovery sources
     ListPluginSources() ([]*PluginSourceInfo, error)
+
+    // InitPluginDiscoverySource initializes the plugin source to its default value, and returns stdOut and error info
+    InitPluginDiscoverySource(opts ...E2EOption) (string, error)
 }
 type PluginGroupOps interface {
     // SearchPluginGroups performs plugin group search
diff --git a/test/e2e/framework/framework.go b/test/e2e/framework/framework.go
index 253680bcd..06f3162d2 100644
--- a/test/e2e/framework/framework.go
+++ b/test/e2e/framework/framework.go
@@ -28,10 +28,10 @@ const (
 	ConfigServerDelete = "%s config server delete %s -y"
 
 	// Plugin commands
-	AddPluginSource                     = "%s plugin source add --name %s --type %s --uri %s"
-	UpdatePluginSource                  = "%s plugin source update %s --type %s --uri %s"
+	UpdatePluginSource                  = "%s plugin source update %s --uri %s"
 	ListPluginSourcesWithJSONOutputFlag = "%s plugin source list -o json"
 	DeletePluginSource                  = "%s plugin source delete %s"
+	InitPluginDiscoverySource           = "%s plugin source init"
 	ListPluginsCmdWithJSONOutputFlag    = "%s plugin list -o json"
 	SearchPluginsCmd                    = "%s plugin search"
 	SearchPluginGroupsCmd               = "%s plugin group search"
@@ -48,7 +48,6 @@ const (
 	PluginKey                           = "%s_%s_%s" // Plugins - Name_Target_Versions
 
 	// Central repository
-	CentralRepositoryPreReleaseRepoImage     = "TANZU_CLI_PRE_RELEASE_REPO_IMAGE"
 	TanzuCliE2ETestCentralRepositoryURL      = "TANZU_CLI_E2E_TEST_CENTRAL_REPO_URL"
 	TanzuCliE2ETestLocalCentralRepositoryURL = "TANZU_CLI_E2E_TEST_LOCAL_CENTRAL_REPO_URL"
 
@@ -102,8 +101,7 @@ const (
 	UnableToFindPlugin                            = "unable to find plugin '%s'"
 	InvalidTargetSpecified                        = "invalid target specified. Please specify correct value of `--target` or `-t` flag from 'global/kubernetes/k8s/mission-control/tmc'"
 	InvalidTargetGlobal                           = "invalid target for plugin: global"
-	UnknownDiscoverySourceType                    = "unknown discovery source type"
-	DiscoverySourceNotFound                       = "cli discovery source not found"
+	DiscoverySourceNotFound                       = "discovery %q does not exist"
 	ErrorLogForCommandWithErrStdErrAndStdOut      = "error while executing command:'%s', error:'%s' stdErr:'%s' stdOut: '%s'"
 	FailedToConstructJSONNodeFromOutputAndErrInfo = "failed to construct json node from output:'%s' error:'%s' "
 	FailedToConstructJSONNodeFromOutput           = "failed to construct json node from output:'%s'"
diff --git a/test/e2e/framework/output_handling.go b/test/e2e/framework/output_handling.go
index 79a348d25..84e3498fd 100644
--- a/test/e2e/framework/output_handling.go
+++ b/test/e2e/framework/output_handling.go
@@ -27,8 +27,7 @@ type PluginGroup struct {
 
 type PluginSourceInfo struct {
 	Name  string `json:"name"`
-	Scope string `json:"scope"`
-	Type  string `json:"type"`
+	Image string `json:"image"`
 }
 
 type ContextListInfo struct {
diff --git a/test/e2e/framework/plugin_lifecycle_operations.go b/test/e2e/framework/plugin_lifecycle_operations.go
index 519107fc0..c73bf7eaa 100644
--- a/test/e2e/framework/plugin_lifecycle_operations.go
+++ b/test/e2e/framework/plugin_lifecycle_operations.go
@@ -40,9 +40,6 @@ type PluginBasicOps interface {
 
 // PluginSourceOps helps 'plugin source' commands
 type PluginSourceOps interface {
-	// AddPluginDiscoverySource adds plugin discovery source, and returns stdOut and error info
-	AddPluginDiscoverySource(discoveryOpts *DiscoveryOptions, opts ...E2EOption) (string, error)
-
 	// UpdatePluginDiscoverySource updates plugin discovery source, and returns stdOut and error info
 	UpdatePluginDiscoverySource(discoveryOpts *DiscoveryOptions, opts ...E2EOption) (string, error)
 
@@ -51,6 +48,9 @@ type PluginSourceOps interface {
 
 	// ListPluginSources returns all available plugin discovery sources
 	ListPluginSources(opts ...E2EOption) ([]*PluginSourceInfo, error)
+
+	// InitPluginDiscoverySource initializes the plugin source to its default value, and returns stdOut and error info
+	InitPluginDiscoverySource(opts ...E2EOption) (string, error)
 }
 
 type PluginGroupOps interface {
@@ -86,15 +86,9 @@ func NewPluginLifecycleOps() PluginCmdOps {
 	}
 }
 
-func (po *pluginCmdOps) AddPluginDiscoverySource(discoveryOpts *DiscoveryOptions, opts ...E2EOption) (string, error) {
-	addCmd := fmt.Sprintf(AddPluginSource, "%s", discoveryOpts.Name, discoveryOpts.SourceType, discoveryOpts.URI)
-	out, _, err := po.cmdExe.TanzuCmdExec(addCmd, opts...)
-	return out.String(), err
-}
-
 func (po *pluginCmdOps) UpdatePluginDiscoverySource(discoveryOpts *DiscoveryOptions, opts ...E2EOption) (string, error) {
-	addCmd := fmt.Sprintf(UpdatePluginSource, "%s", discoveryOpts.Name, discoveryOpts.SourceType, discoveryOpts.URI)
-	out, _, err := po.cmdExe.TanzuCmdExec(addCmd, opts...)
+	updateCmd := fmt.Sprintf(UpdatePluginSource, "%s", discoveryOpts.Name, discoveryOpts.URI)
+	out, _, err := po.cmdExe.TanzuCmdExec(updateCmd, opts...)
 	return out.String(), err
 }
 
@@ -111,6 +105,15 @@ func (po *pluginCmdOps) DeletePluginDiscoverySource(pluginSourceName string, opt
 	return out.String(), err
 }
 
+func (po *pluginCmdOps) InitPluginDiscoverySource(opts ...E2EOption) (string, error) {
+	initCmd := fmt.Sprintf(InitPluginDiscoverySource, "%s")
+	out, stdErr, err := po.cmdExe.TanzuCmdExec(initCmd, opts...)
+	if err != nil {
+		log.Errorf(ErrorLogForCommandWithErrStdErrAndStdOut, initCmd, err.Error(), stdErr.String(), out.String())
+	}
+	return out.String(), err
+}
+
 func (po *pluginCmdOps) ListPlugins(opts ...E2EOption) ([]*PluginInfo, error) {
 	return ExecuteCmdAndBuildJSONOutput[PluginInfo](po.cmdExe, ListPluginsCmdWithJSONOutputFlag, opts...)
 }
diff --git a/test/e2e/plugin_lifecycle/plugin_lifecycle_suite_test.go b/test/e2e/plugin_lifecycle/plugin_lifecycle_suite_test.go
index eefc85de9..2a58eb0c9 100644
--- a/test/e2e/plugin_lifecycle/plugin_lifecycle_suite_test.go
+++ b/test/e2e/plugin_lifecycle/plugin_lifecycle_suite_test.go
@@ -26,7 +26,6 @@ var (
 	pluginsSearchList          []*framework.PluginInfo
 	pluginGroups               []*framework.PluginGroup
 	pluginGroupToPluginListMap map[string][]*framework.PluginInfo
-	pluginSourceName           string
 )
 
 // BeforeSuite initializes and set up the environment to execute the plugin life cycle and plugin group life cycle end-to-end test cases
@@ -35,8 +34,10 @@ var _ = BeforeSuite(func() {
 	// check E2E test central repo URL (TANZU_CLI_E2E_TEST_LOCAL_CENTRAL_REPO_URL)
 	e2eTestLocalCentralRepoURL = os.Getenv(framework.TanzuCliE2ETestLocalCentralRepositoryURL)
 	Expect(e2eTestLocalCentralRepoURL).NotTo(BeEmpty(), fmt.Sprintf("environment variable %s should set with local central repository URL", framework.TanzuCliE2ETestLocalCentralRepositoryURL))
-	// set E2E test central repo URL to TANZU_CLI_PRE_RELEASE_REPO_IMAGE
-	os.Setenv(framework.CentralRepositoryPreReleaseRepoImage, e2eTestLocalCentralRepoURL)
+
+	// setup the test central repo
+	_, err := tf.PluginCmd.UpdatePluginDiscoverySource(&framework.DiscoveryOptions{Name: "default", SourceType: framework.SourceType, URI: e2eTestLocalCentralRepoURL})
+	Expect(err).To(BeNil(), "should not get any error for plugin source update")
 
 	// search plugin groups and make sure there plugin groups available
 	pluginGroups = SearchAllPluginGroups(tf)
diff --git a/test/e2e/plugin_lifecycle/plugin_lifecycle_test.go b/test/e2e/plugin_lifecycle/plugin_lifecycle_test.go
index c8ef82bdc..bf1925aac 100644
--- a/test/e2e/plugin_lifecycle/plugin_lifecycle_test.go
+++ b/test/e2e/plugin_lifecycle/plugin_lifecycle_test.go
@@ -10,6 +10,7 @@ import (
 	. "github.com/onsi/ginkgo/v2"
 	. "github.com/onsi/gomega"
 
+	"github.com/vmware-tanzu/tanzu-cli/pkg/constants"
 	"github.com/vmware-tanzu/tanzu-cli/test/e2e/framework"
 )
 
@@ -23,40 +24,36 @@ import (
 // 1. plugin search, install, delete, describe, list (with negative use cases)
 // 2. plugin source add/update/list/delete (with negative use cases)
 var _ = framework.CLICoreDescribe("[Tests:E2E][Feature:Plugin-lifecycle]", func() {
-	// use case: tanzu plugin source add, list, update, delete
-	// add plugin source
+	// use case: tanzu plugin source list, update, delete, init
 	// a. list plugin sources and validate plugin source created in previous step
 	// b. update plugin source URL
-	// c. (negative test) update plugin source URL with incorrect type (--type)
-	// d. (negative test) delete plugin source which is not exists
-	// e. delete plugin source which was created in previous test case
-	Context("plugin source use cases: tanzu plugin source add, list, update, delete", func() {
-		// Test case: add plugin source
-		It("add plugin source", func() {
-			pluginSourceName = framework.RandomString(5)
-			_, err := tf.PluginCmd.AddPluginDiscoverySource(&framework.DiscoveryOptions{Name: pluginSourceName, SourceType: framework.SourceType, URI: e2eTestLocalCentralRepoURL})
-			Expect(err).To(BeNil(), "should not get any error for plugin source add")
-		})
+	// c. (negative test) delete plugin source which is not exists
+	// d. delete plugin source which was created in previous test case
+	// e. initialize the default plugin source
+	Context("plugin source use cases: tanzu plugin source list, update, delete, init", func() {
+		const pluginSourceName = "default"
 		// Test case: list plugin sources and validate plugin source created in previous step
 		It("list plugin source and validate previously created plugin source available", func() {
 			list, err := tf.PluginCmd.ListPluginSources()
 			Expect(err).To(BeNil(), "should not get any error for plugin source list")
 			Expect(framework.IsPluginSourceExists(list, pluginSourceName)).To(BeTrue())
+			Expect(list[0].Image).To(Equal(e2eTestLocalCentralRepoURL))
 		})
 		// Test case: update plugin source URL
 		It("update previously created plugin source URL", func() {
-			_, err := tf.PluginCmd.UpdatePluginDiscoverySource(&framework.DiscoveryOptions{Name: pluginSourceName, SourceType: framework.SourceType, URI: e2eTestLocalCentralRepoURL})
+			newImage := framework.RandomString(5)
+			_, err := tf.PluginCmd.UpdatePluginDiscoverySource(&framework.DiscoveryOptions{Name: pluginSourceName, SourceType: framework.SourceType, URI: newImage})
 			Expect(err).To(BeNil(), "should not get any error for plugin source update")
-		})
-		// Test case: (negative test) update plugin source URL with incorrect type (--type)
-		It("update previously created plugin source with incorrect type", func() {
-			_, err := tf.PluginCmd.UpdatePluginDiscoverySource(&framework.DiscoveryOptions{Name: pluginSourceName, SourceType: framework.SourceType + framework.RandomString(3), URI: e2eTestLocalCentralRepoURL})
-			Expect(err.Error()).To(ContainSubstring(framework.UnknownDiscoverySourceType))
+			list, err := tf.PluginCmd.ListPluginSources()
+			Expect(err).To(BeNil(), "should not get any error for plugin source list")
+			Expect(framework.IsPluginSourceExists(list, pluginSourceName)).To(BeTrue())
+			Expect(list[0].Image).To(Equal(newImage))
 		})
 		// Test case: (negative test) delete plugin source which is not exists
 		It("negative test case: delete plugin source which is not exists", func() {
-			_, err := tf.PluginCmd.DeletePluginDiscoverySource(framework.RandomString(5))
-			Expect(err.Error()).To(ContainSubstring(framework.DiscoverySourceNotFound))
+			wrongName := framework.RandomString(5)
+			_, err := tf.PluginCmd.DeletePluginDiscoverySource(wrongName)
+			Expect(err.Error()).To(ContainSubstring(fmt.Sprintf(framework.DiscoverySourceNotFound, wrongName)))
 		})
 		// Test case: delete plugin source which was created in previous test case
 		It("delete previously created plugin source and validate with plugin source list", func() {
@@ -66,6 +63,19 @@ var _ = framework.CLICoreDescribe("[Tests:E2E][Feature:Plugin-lifecycle]", func(
 			Expect(err).To(BeNil(), "should not get any error for plugin source list")
 			Expect(framework.IsPluginSourceExists(list, pluginSourceName)).To(BeFalse())
 		})
+		// Test case: delete plugin source which was created in previous test case
+		It("initialize the default plugin source and validate with plugin source list", func() {
+			_, err := tf.PluginCmd.InitPluginDiscoverySource()
+			Expect(err).To(BeNil(), "should not get any error for plugin source init")
+			list, err := tf.PluginCmd.ListPluginSources()
+			Expect(err).To(BeNil(), "should not get any error for plugin source list")
+			Expect(framework.IsPluginSourceExists(list, pluginSourceName)).To(BeTrue())
+			Expect(list[0].Image).To(Equal(constants.TanzuCLIDefaultCentralPluginDiscoveryImage))
+		})
+		It("put back the E2E plugin repository", func() {
+			_, err := tf.PluginCmd.UpdatePluginDiscoverySource(&framework.DiscoveryOptions{Name: pluginSourceName, SourceType: framework.SourceType, URI: e2eTestLocalCentralRepoURL})
+			Expect(err).To(BeNil(), "should not get any error for plugin source update")
+		})
 	})
 	// use case: tanzu plugin clean, install and describe, list, delete
 	// a. clean plugins if any installed already
diff --git a/test/e2e/plugin_sync/plugin_sync_lifecycle_suite_test.go b/test/e2e/plugin_sync/plugin_sync_lifecycle_suite_test.go
index fa1d47785..e1a04b447 100644
--- a/test/e2e/plugin_sync/plugin_sync_lifecycle_suite_test.go
+++ b/test/e2e/plugin_sync/plugin_sync_lifecycle_suite_test.go
@@ -36,11 +36,14 @@ const numberOfPluginsToInstall = 3
 // BeforeSuite initializes and set up the environment to execute the plugin life cycle and plugin group life cycle end-to-end test cases
 var _ = BeforeSuite(func() {
 	tf = framework.NewFramework()
+
 	// check E2E test central repo URL (TANZU_CLI_E2E_TEST_LOCAL_CENTRAL_REPO_URL)
 	e2eTestLocalCentralRepoURL = os.Getenv(framework.TanzuCliE2ETestLocalCentralRepositoryURL)
 	Expect(e2eTestLocalCentralRepoURL).NotTo(BeEmpty(), fmt.Sprintf("environment variable %s should set with local central repository URL", framework.TanzuCliE2ETestLocalCentralRepositoryURL))
-	// set E2E test central repo URL to TANZU_CLI_PRE_RELEASE_REPO_IMAGE
-	os.Setenv(framework.CentralRepositoryPreReleaseRepoImage, e2eTestLocalCentralRepoURL)
+
+	// setup the test central repo
+	_, err := tf.PluginCmd.UpdatePluginDiscoverySource(&framework.DiscoveryOptions{Name: "default", SourceType: framework.SourceType, URI: e2eTestLocalCentralRepoURL})
+	Expect(err).To(BeNil(), "should not get any error for plugin source update")
 
 	// search plugin groups and make sure there plugin groups available
 	pluginGroups = helper.SearchAllPluginGroups(tf)
diff --git a/test/e2e/plugins_compatibility/plugins_compatibility_suite_test.go b/test/e2e/plugins_compatibility/plugins_compatibility_suite_test.go
index d594e7fe1..c703478b4 100644
--- a/test/e2e/plugins_compatibility/plugins_compatibility_suite_test.go
+++ b/test/e2e/plugins_compatibility/plugins_compatibility_suite_test.go
@@ -30,7 +30,13 @@ var (
 // In the BeforeSuite search for the test-plugin-'s from the TANZU_CLI_E2E_TEST_CENTRAL_REPO_URL test central repository
 var _ = BeforeSuite(func() {
 	tf = framework.NewFramework()
+
+	// setup the test central repo
+	centralURI := os.Getenv(framework.TanzuCliE2ETestCentralRepositoryURL)
+	_, err := tf.PluginCmd.UpdatePluginDiscoverySource(&framework.DiscoveryOptions{Name: "default", SourceType: framework.SourceType, URI: centralURI})
+	Expect(err).To(BeNil(), "should not get any error for plugin source update")
+
 	// get all plugins with name prefix "test-plugin-"
 	plugins = plugincompatibility.PluginsForCompatibilityTesting(tf)
-	Expect(len(plugins)).NotTo(BeZero(), fmt.Sprintf("there are no test-plugin-'s in test central repo:%s , make sure its valid test central repo with test-plugins", os.Getenv(framework.TanzuCliE2ETestCentralRepositoryURL)))
+	Expect(len(plugins)).NotTo(BeZero(), fmt.Sprintf("there are no test-plugin-'s in test central repo:%s , make sure its valid test central repo with test-plugins", centralURI))
 })