Right now this is how Rygel looks for configuration:
1) If cmdline parameter for local configuration path is given then:
  a) Looks for global one in sys config dir (~/usr/etc/rygel.conf in jhbuilded env).
  b) If global one is found then it looks for local one in path given by cmdline parameter. At this point loading user config is finished.
2) Otherwise it looks for global one in sys config dir (~/usr/etc/rygel.conf in jhbuilded env).
3) If local is found the it looks for local one in user config dir (~/.config/rygel.conf). At this point loading user config is finished.

If global does not exists then Rygel issues a warning that user configuration could not be loaded. That config actually exists in ~/.config does not matter.

I think that Rygel should do it bit differently:
1) Local conf:
  a) If cmdline param is given then use it to find local conf.
  b) Otherwise look for it in ~/.config.
2) Global conf:
  a) Look for it in sys conf dir.

If local config is found - use it. Otherwise if global config is found - use it. Otherwise issue a warning about configuration being not found.