I added some more info maybe while you read it so pay attention on my edited reply
If you have electronic IGNITION system, thats a diff stuff. Some more wires will be involved. So aren't we talking about just the electronic regulator system but also electronic ignition ?
I understand you want to clean up everything as much as posible, but would help what else you have on car to help on that
per what I understand is... this plug reachs the ballast getting two legs. One coming from bulkhead, and the other one to the regulator... right ? and what gets you confused is why the wire is getting the ballast.
if so, that's correct and is factory. The ballast plug is just being used for Ign1 power SPLICE to feed also the reg... some cars got this splice with a soldering point hidden down the harness tape, specially laters where more Ign1 sources where needed, but on earlier years where just two devices needed this source ( Ballast for coil and reg ), use the ballast plug to get that source was pretty much enough to feed everything the ign1 needed into the engine bay to feed as a splice for it. HOWEVER the regulator and ballast are not really related on anything but just sharing the ign switch source from the RUN ( ign1 ) circuit on that plug
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