We develop an alternative scaling approach to determine the criteria for Anderson localization in one-dimensional tight-binding models with random site energies having a bandwidth that decays as a power law in space, Hij ∝ |i − j| −α . At the first order in perturbation theory the scale dependence of the exchange-narrowed energy of the disorder is compared to the energy level spacing of the ideal system to establish whether or not the disorder has a perturbative effect on the Bloch states. We find that at α = 1, the perturbative condition is satisfied and for sufficiently weak disorder strength all states are extended. For α > 1, all states are localized for arbitrary disorder strength, in agreement with the earlier renormalization group treatment by Levitov.