diff --git a/playground/relocate/c/a.c b/playground/relocate/c/a.c
index 5bdc2c54..be5b1790 100644
--- a/playground/relocate/c/a.c
+++ b/playground/relocate/c/a.c
@@ -1 +1,4 @@
+#include "a.h"
+
 int k = 332;
+
diff --git a/playground/relocate/c/a/a.h b/playground/relocate/c/a/a.h
new file mode 100644
index 00000000..dc5422f1
--- /dev/null
+++ b/playground/relocate/c/a/a.h
@@ -0,0 +1 @@
+int u = 0;
diff --git a/playground/relocate/c/wscript b/playground/relocate/c/wscript
index 63370c72..b1cc5b21 100644
--- a/playground/relocate/c/wscript
+++ b/playground/relocate/c/wscript
@@ -7,5 +7,5 @@ def configure(conf):
 	conf.load('relocation compiler_c')
 
 def build(bld):
-	bld.shlib(source='a.c', target='one')
+	bld.shlib(source='a.c', target='one', includes='a')
 	bld.program(source='main.c', target='two', use='one')
diff --git a/waflib/extras/relocation.py b/waflib/extras/relocation.py
index ab8dd361..aa758b44 100644
--- a/waflib/extras/relocation.py
+++ b/waflib/extras/relocation.py
@@ -80,6 +80,6 @@ def apply_incpaths(self):
 	lst = self.to_incnodes(self.to_list(getattr(self, 'includes', [])) + self.env['INCLUDES'])
 	self.includes_nodes = lst
 	bld = self.bld
-	self.env['INCPATHS'] = [x.is_child_of(bld.srcnode) and x.path_from(bld.srcnode) or x.abspath() for x in lst]
+	self.env['INCPATHS'] = [x.is_child_of(bld.srcnode) and x.path_from(bld.bldnode) or x.abspath() for x in lst]