Installation:
Download the addon and save it somewhere you can remember. Do not unzip it.
Inside Blender, go to "Edit" -> "Preferences" -> "Add-ons" and then click install. Now go to the location where your addon file is stored and double-click it.
Now, simply click the little box next to the addon to enable it.
Using Sky-Lab:
After installing the addon, open the panel on the right by pressing "N" while hovering your mouse in the 3D-Viewport. Then go to the "Sky-Lab" tab.
Here you will find 2 buttons; "Import Atmosphere" and "Import Clouds".
Before you press any of them, I would recommend you change both your viewport and camera "Clip End" value to something very high. If you're computer can handle it, you can just set it to something like "99999...". This will simply make sure you can see all the fog and clouds regardless of the distance.
Now, if you press the "Import Atmosphere" button, the Sky-Lab atmosphere will be enabled. From here you can continue to adjust settings in the "Atmospheric Conditions" category.
You have control over basically every single aspect of the atmosphere. You can control things like the color using the "Custom Color A/B" values, the sun elevation, azimuth, strength, size and so much more. I would recommend simply going through all the settings and see what happens. Have fun with it!
To use the clouds, simply press the "Import Clouds" button and you will have procedurally generated clouds in your scene but you may notice that nothing actually happened. This is because you have not yet, enabled a cloud layer. Simply go to the "Clouds" category in the addon panel, and here you will find 6 different controls labeled "Layers".
Just slide one all the way to one "1" and your clouds will appear.
You may also notice that you have some more controls for the clouds. Like before, you can just play around with the settings until you get something that you like.
The most important cloud settings that you need are, the "Seed", "Density", and "Color" values.
"Seed" - Randomizes the cloud formations
"Density" - Controls how "thick" your clouds are. Higher values will result in more dense clouds.
"Color" - This will, as the name suggests, change the color of your clouds.
Project Settings:
By default when you enable the Sky-Lab atmosphere, your project settings will change.
For example, your exposure will be set to "-3.5" to accommodate for the change of brightness that the sun and sky will give your scene.
Your Volumes "Max Steps" will be set to "10". This will decrease the quality of your clouds but it saves a lot of computing power. If your PC can handle it, you can set it to something higher.
Your "Volume Bounces" will also be set to "10". This will increase the quality of the clouds quite a lot. If the volume bounces are too low, it may make your clouds look darker as the light will be "trapped" inside of the clouds. Increasing this to 10 will result in much more realistic clouds.