It is my understanding that DEFINE OSC actually does nothing to configure the PIC's oscillator; it is used by PBP to correct time-dependent commands (PAUSE would be an example). It's also my understanding that PBP assumes 4 MHz as a default value, so a DEFINE is necessary only if a different oscillator speed is used.
To configure the internal oscillator, see the section of the data sheet entitled "Oscillator Module" or "Oscillator Configuration" or the equivalent. Recently, I've done stuff with the 12F683, the 16F628A/648A, the 16F877A, and the 16F88. Of these, three have internal oscillators and two have a register, OSCCON, to load to configure the oscillator.
For example, to use the 12F683 with its internal oscillator running at 4 MHz, I have to load that register with the statement: OSCCON=%01100000 (or $60--I've never tried decimal 96).
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