Turns out the file had control characters in it:
sed -i m-b...@m-^xs,/var/www,/srv/drupal-7.0-beta1,gm-b...@m-^y
/etc/apache2/sites-available/default$
I fixed that and now it works.
** Changed in: cloud-init (Ubuntu)
Status: New => Invalid
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[WARNING]: failed to open /var/lib/cloud/data/scripts/runcmd for runcmd
https://bugs.launchpad.net/bugs/661375
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