Solution 1:

Your xorg.conf has two device sections:

Section "Device"
    Identifier  "aticonfig-Device[0]-0"
    Driver      "fglrx"
    BusID       "PCI:1:0:0"
EndSection

Section "Device"
    Identifier  "intel"
    Driver      "intel"
    Option      "AccelMethod" "uxa"
EndSection

This is causing your machine to attempt to load both the fglrx and the intel drivers. While it is actually possible to use multiple graphics cards on Linux, I doubt you can do that with an integrated (intel) and a dedicated (ATI) one. It is very likely that removing the intel section will return everything to normal (assuming the fglrx driver works on your system but as I understand it used to, so it probably will). So, comment out the intel section and keep only fglrx:

Section "Device"
    Identifier  "aticonfig-Device[0]-0"
    Driver      "fglrx"
    BusID       "PCI:1:0:0"
EndSection

#Section "Device"
#    Identifier  "intel"
#    Driver      "intel"
#    Option      "AccelMethod" "uxa"
#EndSection

Then restart X and, assuming there is no other issue, everything should be fine.

If not, you can try creating a new xorg.conf using ATI's configuration tool, aticonfig:

sudo aticonfig --initial

If you do go down this road, I also recommend you read through that program's options, they're quite extensive:

aticonfig --help | less

Finally, the Arch wiki page on ATI/AMD cards is a great source of information on this kind of thing.

Solution 2:

Try to purge the GC drivers and reinstall:

sudo apt-get purge fglrx fglrx-pxpress

sudo apt-get update

sudo apt-get upgrade

sudo apt-get install fglrx fglrx-pxpress

If that doesn't fix it, time to edit XConfigs!