diff --git a/lib/compass/compiler.rb b/lib/compass/compiler.rb
index 24f5c139..b791471e 100644
--- a/lib/compass/compiler.rb
+++ b/lib/compass/compiler.rb
@@ -52,7 +52,7 @@ module Compass
           compile sass_filename, css_filename, options
         rescue Sass::SyntaxError => e
           full_exception = Compass.configuration.environment == :development
-          logger.record :error, basename(sass_filename)
+          logger.record :error, basename(sass_filename), "(Line #{e.sass_line}: #{e.message})"
           write_file(css_filename,
             Sass::SyntaxError.exception_to_css(e, :full_exception => full_exception),
             options.merge(:force => true))
diff --git a/lib/compass/configuration.rb b/lib/compass/configuration.rb
index 1999c0c5..25c300b5 100644
--- a/lib/compass/configuration.rb
+++ b/lib/compass/configuration.rb
@@ -31,7 +31,8 @@ module Compass
       :sass_options,
       :asset_host,
       :asset_cache_buster,
-      :line_comments
+      :line_comments,
+      :color_output
     ].flatten
 
   end
diff --git a/lib/compass/configuration/defaults.rb b/lib/compass/configuration/defaults.rb
index 54a5c43a..d511d869 100644
--- a/lib/compass/configuration/defaults.rb
+++ b/lib/compass/configuration/defaults.rb
@@ -34,6 +34,10 @@ module Compass
         top_level.environment == :development
       end
 
+      def default_color_output
+        true
+      end
+
       def default_sass_path
         if (pp = top_level.project_path) && (dir = top_level.sass_dir)
           File.join(pp, dir)
diff --git a/lib/compass/logger.rb b/lib/compass/logger.rb
index d48eecaf..c5cb6801 100644
--- a/lib/compass/logger.rb
+++ b/lib/compass/logger.rb
@@ -1,7 +1,20 @@
 module Compass
   class Logger
 
-    DEFAULT_ACTIONS = [:directory, :exists, :remove, :create, :overwrite, :compile]
+    DEFAULT_ACTIONS = [:directory, :exists, :remove, :create, :overwrite, :compile, :error, :identical]
+
+    ACTION_COLORS = {
+      :error => :red,
+      :compile => :green,
+      :overwrite => :yellow,
+      :create => :green,
+      :remove => :yellow,
+      :exists => :green,
+      :directory => :green,
+      :identical => :green
+    }
+
+    COLORS = { :clear => 0, :red => 31, :green => 32, :yellow => 33 }
 
     attr_accessor :actions, :options
 
@@ -13,9 +26,22 @@ module Compass
 
     # Record an action that has occurred
     def record(action, *arguments)
+      emit color(ACTION_COLORS[action]) if Compass.configuration.color_output
       log "#{action_padding(action)}#{action} #{arguments.join(' ')}"
+      emit color(:clear) if Compass.configuration.color_output
     end
 
+    def color(c)
+      if c && COLORS.has_key?(c.to_sym)
+        "\e[#{COLORS[c.to_sym]}m"
+      else
+        ""
+      end
+    end
+
+    def emit(msg)
+      print msg
+    end
     # Emit a log message
     def log(msg)
       puts msg
@@ -39,4 +65,4 @@ module Compass
     def log(msg)
     end
   end
-end
\ No newline at end of file
+end
diff --git a/test/command_line_helper.rb b/test/command_line_helper.rb
index 3fc48bd6..a3363aa4 100644
--- a/test/command_line_helper.rb
+++ b/test/command_line_helper.rb
@@ -30,7 +30,7 @@ module Compass::CommandLineHelper
             end
           end
           responder.assert_required_responses!
-          @last_result = output
+          @last_result = decolorize(output)
         else
           #child process
           execute *arguments
@@ -38,15 +38,19 @@ module Compass::CommandLineHelper
       end
     else
       @last_error = capture_warning do
-        @last_result = capture_output do
+        @last_result = decolorize(capture_output do
           @last_exit_code = execute *arguments
-        end
+        end)
       end
     end
   rescue Timeout::Error
     fail "Read from child process timed out"
   end
 
+  def decolorize(str)
+    str.gsub(/\e\[\d+m/,'')
+  end
+
   class Responder
     Response = Struct.new(:prompt, :text, :required, :responded)
     def initialize
@@ -79,7 +83,7 @@ module Compass::CommandLineHelper
       actions_found << line.first if line.last == path
     end
     message = "Action #{action.inspect} was not performed on: #{path}."
-    message += "The following actions were performed: #{actions_found.join(", ")}" if actions_found.any?
+    message += "The following actions were performed: #{actions_found.map{|a|a.inspect}.join(", ")}" if actions_found.any?
     puts @last_result
     fail message
   end