NEWPORT is one of two sites short-listed by consultants for a national centre for contemporary art for Wales.

But a lack of cash means it is likely to be some years before the multi-million pound project will even be considered let alone become a reality.

A study examining the future display of visual art was commissioned by Assembly leaders and the Arts Council of Wales among others.

Fouteen possible sites for a national centre for contemporary art, including two in Newport, were looked at by ABL cultural consultants and they came up with two preferred locations.

The first was the city's Riverside on the banks of the Usk as part of the cutural precinct and university campus.

ABL's other choice was Paxton Street in Swansea.

Minister for heritage Alun Ffred Jones told AMs that the report recommended the establishment of a large-scale centre to allow the creation of a "signature" building.

It was estimated this would cost £38.8 million with on-going operational costs of £1.5 million.

Mr Jones said none of the bodies involved, including the Assembly, had the resources to take forward this project, or a national art gallery, in the short to medium term.

"The situation is heightened by the lack of availability of capital resources from the National Lottery, and neither project could therefore be realistically considered until sometime in the years following 2012."

Newport West AM Rosemary Butler has long pressed for a national centre for contemporary art to be housed in Newport.

She reiterated the case during the debate reminding Mr Jones that the centre of the visual arts was the city.

Mrs Butler invited him to visit the city to see what a "fantastic place" it would be for the centre.

Mr Jones said there was a case to be made for a network of galleries throughout Wales.