Comment 2 for bug 655217

To fix this problem you only need to to add write permissions to the directory structure created by novascript.

If you look at the /var/log/libvirt/qemu/instance-INSTANCE_ID.log you will see the error written in the last line. It's trying to create the console.log file but there is a problem with the permissions. Probably you are running the novascript as root in a folder with root only permissions.