A farm initially purchased by the Welsh government with public funds for a failed festival initiative has declined in value by £500,000.
Gilestone Farm in Powys was initially purchased for £4.75m butplans to assist the owners of the Green Man festivalwere left behind when ospreys began nesting there.
A report from a Senedd committee has expressed "significant worries" about the acquisition of the site and called for an investigation.
The Welsh administration stated it would "keep looking into possible options for its future application."
Then-economy minister Vaughan Gething stated that the government was "pleased" in early 2024 with the arrival oftwo nesting ospreys at Gilestone Farm.
However, the discovery put an end to a plan that might have allowed the businesswoman associated with Green Man to open a new location.
Gething, who briefly served as first minister in the same year,denied wasting money.
According to the proposals, the primary music and arts festival would have continued to take place in Crickhowell, although a company established by Green Man's director Fiona Stewart aimed to utilize the farm for different events.
Opposition politicians had criticized the acquisition of the property - with officials beginning discussions to lease it to Ms. Stewart - in the absence of a preliminary business strategy.
Following the identification of the ospreys, a 750-meter (2,460-foot) restricted area was recommended near the nest, which is visible.live on the internet.
A previous audit report indicated that spending unused funds by the end of the fiscal year was the"most important" factor in why the site was acquired.
The property is currently rented out to a farm under "commercial conditions".
'Not robust'
In a significant report, the Senedd's public accounts and administration committee noted that the decision was made with "insufficient comprehensive investigation."
It stated that the plans were "not sufficiently strong and had not been clearly conveyed to the public."
It resulted in an inability to maintain proper documentation of meetings with Green Man officials, causing the Senedd to be "unable to thoroughly examine and assess the decisions made by the Welsh government."
The report stated that decision-makers within the Welsh government were also not given details about the purchase in a "prompt fashion."
The committee stated that the "haste" with which the government acquired the site may have also limited its capacity to recognize risks associated with wildlife "that could impact its plans for the area, and possibly, its worth."
"This is especially significant since the site is now worth £3.75 million, indicating that the Welsh government's asset has decreased by half a million pounds in value," the report stated.
Committee chair Mark Isherwood stated, "The appearance of ospreys at the location was unforeseen, and it is recognized that the Welsh government has taken a favorable approach to safeguarding their habitat, although there was proof of other protected species being present at the site when it was acquired."
Nevertheless, the site's future seems highly uncertain, as the latest assessment indicates the asset has lost £0.5m in value from the original purchase price. This is very disappointing.
The committee requested a comprehensive examination of the purchasing procedure and asked the Welsh government's top civil servant, permanent secretary Andrew Goodall, to "consider the substantial decrease in the land's value and whether this might have been reduced".
A representative from the Welsh government stated: "Gilestone continues to be one of the properties owned by the Welsh government and is being operated as a functioning farm on our behalf."
We remain committed to investigating possible future applications, aiming for a sustainable solution that supports the growth of local communities.
We will review the committee's report with attention and provide a response at the appropriate time.
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- Public Accounts and Public Administration Committee of the Senedd