Thanks Bruce, that does the trick! Just did exactly as you said, and now it lets me compile inside my program code like this:

Code:
Define XTAL 48
OSCTUNE.6 =1
ASM
   CONFIG OSC=HSPLL 
   CONFIG CPUDIV=OSC1
   CONFIG PLLDIV=5
   CONFIG LPT1OSC=OFF 
   CONFIG CP0=OFF 
   CONFIG WDTEN=ON 
   CONFIG XINST=OFF 
   CONFIG IOL1WAY=OFF
   CONFIG STVREN=OFF 
   CONFIG T1DIG=ON 
   CONFIG FCMEN=OFF 
   CONFIG WDTPS=512
   CONFIG RTCOSC=T1OSCREF
ENDASM
And my LED is blinking at the right speed. Yes, I could just edit configs in the .inc file, but then you have to change it for each project. A pain if you want to jump around from unfinished project to unfinished project. Oh, that's just me....