[WIP] Fix merge conflicts in the codebase

[Copilot]

• Understand the merge conflict situation: PR Raise on failed individual asset generation to prevent incorrect cache updates #1130 has mergeable_state: dirty due to duplicate commits from main on the branch
• Apply the actual code changes from PR Raise on failed individual asset generation to prevent incorrect cache updates #1130 cleanly onto main:
  • CHANGELOG.md - add "Fixed" entry for failed asset generation error handling
  • pretext/project/generate.py - add error raising when image generation fails
  • tests/test_generate.py - new test file for image generation error handling
• Run tests to verify the changes work correctly
• Run black formatting
• Final code review and security scan

Original prompt

fix merge conflicts

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