diff --git a/.gitignore b/.gitignore
index c6bb2c7fdd..4b67ea8dfa 100644
--- a/.gitignore
+++ b/.gitignore
@@ -2,6 +2,7 @@
 .project
 LICENSE_HEADER
 *.pyc
+*.pyo
 *.nja
 build/
 dist/
diff --git a/easybuild/tools/build_log.py b/easybuild/tools/build_log.py
index c170f4d185..856160ec9b 100644
--- a/easybuild/tools/build_log.py
+++ b/easybuild/tools/build_log.py
@@ -64,6 +64,8 @@ class EasyBuildError(LoggedException):
     """
     LOC_INFO_TOP_PKG_NAMES = ['easybuild', 'vsc']
     LOC_INFO_LEVEL = 1
+    # always include location where error was raised from, even under 'python -O'
+    INCLUDE_LOCATION = True
 
     # use custom error logging method, to make sure EasyBuildError isn't being raised again to avoid infinite recursion
     # only required because 'error' log method raises (should no longer be needed in EB v3.x)
diff --git a/easybuild/tools/testing.py b/easybuild/tools/testing.py
index 96463e1b6d..40e6a0881c 100644
--- a/easybuild/tools/testing.py
+++ b/easybuild/tools/testing.py
@@ -35,12 +35,10 @@
 """
 import copy
 import os
-import re
 import sys
 from datetime import datetime
 from time import gmtime, strftime
 
-import easybuild.tools.config as config
 from easybuild.framework.easyblock import build_easyconfigs
 from easybuild.framework.easyconfig.tools import process_easyconfig
 from easybuild.framework.easyconfig.tools import skip_available
diff --git a/eb b/eb
index 04cecac50d..46a7aaa784 100755
--- a/eb
+++ b/eb
@@ -74,4 +74,11 @@ then
     exit 3
 fi
 
+# enable optimization, unless $PYTHONOPTIMIZE is defined (use "export PYTHONOPTIMIZE=0" to disable optimization)
+if [ -z $PYTHONOPTIMIZE ]
+then
+    # instruct Python to turn on basic optimizations (equivalent to using 'python -O')
+    export PYTHONOPTIMIZE=1
+fi
+
 $PYTHON -m easybuild.main "$@"
diff --git a/setup.cfg b/setup.cfg
index 65eff4cc9e..7b4bba08d3 100644
--- a/setup.cfg
+++ b/setup.cfg
@@ -1,3 +1,7 @@
+[install]
+# generate .pyo files, 'eb' uses 'python -O' or sets $PYTHONOPTIMIZE
+optimize=1
+
 [bdist_rpm]
 requires = environment-modules, bash, python >= 2.6, python < 3
 
diff --git a/setup.py b/setup.py
index 8abb0ac5d0..ebfbb70fed 100644
--- a/setup.py
+++ b/setup.py
@@ -107,7 +107,7 @@ def find_rel_test():
     provides=["eb"] + easybuild_packages,
     test_suite="test.framework.suite",
     zip_safe=False,
-    install_requires=["vsc-base >= 2.2.4"],
+    install_requires=["vsc-base >= 2.2.6"],
     extras_require = {
         'yeb': ["PyYAML >= 3.11"],
     },
diff --git a/test/framework/utilities.py b/test/framework/utilities.py
index 757d805d93..35309f7861 100644
--- a/test/framework/utilities.py
+++ b/test/framework/utilities.py
@@ -84,6 +84,10 @@ def setUp(self):
         """Set up testcase."""
         super(EnhancedTestCase, self).setUp()
 
+        # make sure option parser doesn't pick up any cmdline arguments/options
+        while len(sys.argv) > 1:
+            sys.argv.pop()
+
         # keep track of log handlers
         log = fancylogger.getLogger(fname=False)
         self.orig_log_handlers = log.handlers[:]