process.env.VARIABLE returns string | undefined in TypeScript, so a test that uses a missing credential doesn't fail with a clear error at startup: it fails mid-test with a cryptic locator or authentication error. The fix is a requireEnv() wrapper that throws at startup with the variable name: a missing TEST_USER_EMAIL stops the suite before the first test runs and tells you exactly what to set. This article covers the dotenv setup with .env and .env.local, the type-safe env object pattern, global setup validation, and how GitHub Actions vars. and secrets. differ for non-sensitive versus sensitive values.

What belongs where

In playwright.config.ts (committed to source control):

export default defineConfig({
  timeout: 30000,
  retries: process.env.CI ? 2 : 0,
  workers: process.env.CI ? 4 : undefined,
  reporter: [['html'], ['list']],
  use: {
    baseURL: process.env.BASE_URL || 'http://localhost:3000',
    trace: 'on-first-retry',
    screenshot: 'only-on-failure',
  },
});

In .env files or CI secrets (never committed for secrets):

BASE_URL=https://staging.myapp.com
API_KEY=sk-test-abc123
TEST_USER_EMAIL=testuser@example.com
TEST_USER_PASSWORD=SecurePass123!
DATABASE_URL=postgresql://localhost:5432/testdb

Setting up dotenv

npm install -D dotenv

Create .env with safe defaults (no real credentials):

# .env
BASE_URL=http://localhost:3000
TEST_USER_EMAIL=test@example.com
TEST_USER_PASSWORD=
DATABASE_URL=

Create .env.local with real local values (gitignored):

# .env.local — never committed
TEST_USER_EMAIL=realtest@example.com
TEST_USER_PASSWORD=RealPassword123
DATABASE_URL=postgresql://localhost:5432/myapp_test

Load in config:

// playwright.config.ts
import dotenv from 'dotenv';
import path from 'path';

// Load .env.local first (overrides .env)
dotenv.config({ path: path.resolve(__dirname, '.env.local') });
dotenv.config({ path: path.resolve(__dirname, '.env') });

export default defineConfig({
  use: {
    baseURL: process.env.BASE_URL || 'http://localhost:3000',
  },
});

Add to .gitignore:

.env.local
playwright/.auth/
test-results/
playwright-report/

Type-safe environment variables

process.env.VARIABLE returns string | undefined. Catching missing variables at test runtime is bad. Catch them at startup:

// utils/env.ts
function requireEnv(name: string): string {
  const value = process.env[name];
  if (!value) {
    throw new Error(`Environment variable ${name} is required but not set`);
  }
  return value;
}

export const env = {
  baseURL: process.env.BASE_URL || 'http://localhost:3000',
  apiKey: requireEnv('API_KEY'),
  testUser: {
    email: requireEnv('TEST_USER_EMAIL'),
    password: requireEnv('TEST_USER_PASSWORD'),
  },
};

Import in tests:

import { env } from '../utils/env';

test('login with test credentials', async ({ page }) => {
  await page.goto('/login');
  await page.getByLabel('Email').fill(env.testUser.email);
  await page.getByLabel('Password').fill(env.testUser.password);
});

If TEST_USER_EMAIL isn't set, you get a clear error at startup: Environment variable TEST_USER_EMAIL is required but not set, not a cryptic mid-test failure.

Per-project configuration

For multiple test environments, use Playwright projects with different settings:

// playwright.config.ts
const environments = {
  local: {
    baseURL: 'http://localhost:3000',
    apiURL: 'http://localhost:8000',
  },
  staging: {
    baseURL: 'https://staging.myapp.com',
    apiURL: 'https://api-staging.myapp.com',
  },
  production: {
    baseURL: 'https://myapp.com',
    apiURL: 'https://api.myapp.com',
  },
};

const env = (process.env.TEST_ENV as keyof typeof environments) || 'local';
const config = environments[env];

export default defineConfig({
  use: {
    baseURL: config.baseURL,
    extraHTTPHeaders: {
      'X-API-Base': config.apiURL,
    },
  },
});

Run:

TEST_ENV=staging npx playwright test
TEST_ENV=production npx playwright test --grep @smoke

Feature flags in tests

When your app uses feature flags, tests may need to behave differently based on what's enabled:

// Check if a feature is enabled via environment variable
const NEW_CHECKOUT = process.env.FEATURE_NEW_CHECKOUT === 'true';

test('checkout flow', async ({ page }) => {
  await page.goto('/checkout');

  if (NEW_CHECKOUT) {
    // Test new checkout UI
    await expect(page.getByTestId('new-checkout-form')).toBeVisible();
  } else {
    // Test legacy checkout UI
    await expect(page.getByTestId('legacy-checkout-form')).toBeVisible();
  }
});

Better: separate test files per feature flag state, controlled by Playwright projects:

projects: [
  {
    name: 'new-checkout',
    testMatch: '**/checkout-new/**',
    use: { extraHTTPHeaders: { 'X-Feature-New-Checkout': 'true' } },
  },
  {
    name: 'legacy-checkout',
    testMatch: '**/checkout-legacy/**',
  },
],

CI/CD environment setup

GitHub Actions example with proper secret handling:

# .github/workflows/tests.yml
env:
  # Non-sensitive — use vars, visible in logs
  BASE_URL: ${{ vars.STAGING_URL }}
  TEST_ENV: staging

jobs:
  test:
    runs-on: ubuntu-latest
    steps:
      - uses: actions/checkout@v4
      
      - name: Run tests
        env:
          # Sensitive — use secrets, masked in logs
          TEST_USER_EMAIL: ${{ secrets.TEST_USER_EMAIL }}
          TEST_USER_PASSWORD: ${{ secrets.TEST_USER_PASSWORD }}
          API_KEY: ${{ secrets.API_KEY }}
        run: npx playwright test

Key distinction:

  • vars.*: non-sensitive configuration, visible in workflow logs
  • secrets.*: masked in logs, never printed, for credentials and keys

Validating configuration at suite start

Use global setup to validate the environment before tests run:

// global-setup.ts
export default async function globalSetup() {
  const required = ['TEST_USER_EMAIL', 'TEST_USER_PASSWORD', 'BASE_URL'];
  const missing = required.filter(key => !process.env[key]);

  if (missing.length > 0) {
    throw new Error(
      `Missing required environment variables:\n${missing.map(k => `  - ${k}`).join('\n')}\n\n` +
      `Copy .env.example to .env.local and fill in the values.`
    );
  }

  console.log(`Running tests against: ${process.env.BASE_URL}`);
}

This fails fast with a clear message instead of letting the first test fail with a confusing locator error.

→ See also: Playwright Config File Explained: Every Option You Need to Know | Playwright Environment Configuration: Local, Staging, and Production | GitHub Actions for Playwright Tests: The Complete Setup (2026)