Posted 10 October 2012 - 09:03 AM
Your brown wires look ok, and if these are the only browns in the loom, we can rule that particular connection out. It is nice to see such cleanliness in that area!
The engine earth strap is not the main problem, but as suggested, check it anyway.
The simplest thing to fix first is the headlights, as there is no fuse involved. First check the bulbs, it is not unknown for two to fail. Check that at the light switch, the brown incoming wire is live (most likely will be, as it comes straight from the terminal on the starter solenoid). Now I assume that side and rear lights are working, as you don't mention those. Check that they work anyway. When you select headlights on the switch, check that the blue wire at the switch is now live. If not, check to see if the switch connector is reversible (some are), and turn it over and try again.
If still no headlights (check both main and dip every time), follow the blue wire to the dip switch. With headlights selected on, make sure that it is live. You should get voltage on blue/red or blue/white, depending on the position of the switch.
Now find the blue/red and blue/white at the bunch of bullet connectors behind the top of the grille. Same thing again, you should be able to make one or the other live by operating the dip switch. Check that the headlights are plugged into the bullets securely.
Now find the bunch of black wires at the bullet connectors, and check that with headlights on, none of them are live. If they are, you have a fault between there and the main earth point somewhere on the bulkhead, usually near the fuses. (I think they are not always in exactly the same place.)
Somewhere during this process you should have working headlights, or a clear indication of a fault. Report back with your findings, and we will carry on to check something else.