I took another look:
jQuery.noConflict();
jQuery(document).ready(function(){
jQuery(function() {
jQuery("img").lazyload({
placeholder: "/images/blank.gif",
effect: "fadeIn",
failurelimit: 1,
threshold: -20
});
});
});
You set the onload event in the onload handler, which is odd. Remove it and it can work
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