Evaluating old Wiring Harness

I am disassembling my 66 Barracuda for a restoration and have the harnesses out. I cannot separate the engine side from the terminal block, mainly because terminal B (black wire to the Batt side of the ALT and inside to the black terminal of the ammeter) is, well, melted. (first pic is top of the bulkhead conn. showing melt through and second is of the melted and then corroded black wire to the alternator)

Also the connector to the light switch is also melted, it looks like around the H terminal the outputs to the Headlights through the floor switch. (3rd pic)

Assume that old, corroded wiring heated up and did this on the higher amp draws. New replacement wiring harnesses (with new connectors nad bulkhead block) should fix this as new wires will be lower resistance than the old corroded ones, correct?

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