diff --git a/ansible/roles/monasca/templates/monasca-api/wsgi-api.conf.j2 b/ansible/roles/monasca/templates/monasca-api/wsgi-api.conf.j2
index d44dca67bd..ceb26e88d0 100644
--- a/ansible/roles/monasca/templates/monasca-api/wsgi-api.conf.j2
+++ b/ansible/roles/monasca/templates/monasca-api/wsgi-api.conf.j2
@@ -1,4 +1,4 @@
-{% set monasca_log_path = '/var/log/kolla/monasca' %}
+{% set monasca_log_dir = '/var/log/kolla/monasca' %}
 {% set python_path = '/usr/lib/python' ~ distro_python_version ~ '/site-packages' if monasca_install_type == 'binary' else '/var/lib/kolla/venv/lib/python' ~ distro_python_version ~ '/site-packages' %}
 {% set wsgi_path = '/usr/bin' if monasca_install_type == 'binary' else '/monasca-api/monasca_api/api' %}
 
diff --git a/ansible/roles/monasca/templates/monasca-log-api/wsgi-log-api.conf.j2 b/ansible/roles/monasca/templates/monasca-log-api/wsgi-log-api.conf.j2
index 22c732e07c..328fee0a6d 100644
--- a/ansible/roles/monasca/templates/monasca-log-api/wsgi-log-api.conf.j2
+++ b/ansible/roles/monasca/templates/monasca-log-api/wsgi-log-api.conf.j2
@@ -1,4 +1,4 @@
-{% set monasca_log_path = '/var/log/kolla/monasca' %}
+{% set monasca_log_dir = '/var/log/kolla/monasca' %}
 {% set python_path = '/usr/lib/python' ~ distro_python_version ~ '/site-packages' if monasca_install_type == 'binary' else '/var/lib/kolla/venv/lib/python' ~ distro_python_version ~ '/site-packages' %}
 {% set wsgi_path = '/usr/bin' if monasca_install_type == 'binary' else '/monasca-log/monasca_log_api/app' %}
 
diff --git a/releasenotes/notes/monasca-log-dir-8ea46a8b23ae72a3.yaml b/releasenotes/notes/monasca-log-dir-8ea46a8b23ae72a3.yaml
new file mode 100644
index 0000000000..02c434443f
--- /dev/null
+++ b/releasenotes/notes/monasca-log-dir-8ea46a8b23ae72a3.yaml
@@ -0,0 +1,6 @@
+---
+fixes:
+  - |
+    Fixes an issue with Monasca deployment where an invalid variable
+    (``monasca_log_dir``) is referenced. See `bug 1864181
+    <https://bugs.launchpad.net/kolla-ansible/+bug/1864181>`_ for details.