Controversy started even before construction, when the Board received numerous communications and reports questioning the angles of visibility of the site from the north and south and its proposed and actual locations, which proved to be five miles apart.

When inspected by members of the Pilots Board it was found that on top of the inaccuracies, the contractor built the light 2.5 miles (4.0 km) north of the intended site, as it was closer to the quarry he was obtaining the stone from.

The committee found out the Board had been grossly negligent in approving a location without prior inspection and in relying on maps of dubious accuracy.

After the commissioning of the new light, it was considered that the confusion of having two towers in close proximity to one another would be a hazardous to navigation in daylight, especially during foul weather.

As a result, the Cape St George Tower was unceremoniously used from 1917 to 1922 for target practice by the Royal Australian Navy and destroyed.

The ruins of the lighthouse and associated buildings are significant as an integral part of Australia's maritime history, because of their original incorrect siting.

The fact that the lighthouse was incorrectly sited, the subsequent abandonment of the place and its reduction to a ruin add to its historical and landmark significance (Criterion E.1).

The site is managed by the Wreck Bay Aboriginal Community and by the Department of the Environment, Water, Heritage and the Arts as part of the Booderee National Park.