[Dovecot] SQL config error

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Currently using 2.0.12, configured the auth-sql.conf to look like this for
password lookups (doing smtp auth with postfix, so I am not actually
running pop or imap, just auth):

passdb {
  driver = sql
  connect = host=server.net dbname=passwd user=sqluser password='password'
  default_pass_scheme = CRYPT
  password_query = SELECT CONCAT(username,'@domain.net') as user, pw as
password FROM passwd WHERE username = '%n'

  # Path for SQL configuration file, see
example-config/dovecot-sql.conf.ext
  args = /etc/dovecot/dovecot-sql.conf.ext
}

Starting Dovecot I am getting the following error:

# 2.0.12: /etc/dovecot/dovecot.conf
doveconf: Fatal: Error in configuration file
/etc/dovecot/conf.d/auth-sql.conf.ext line 8: Unknown setting: connect

This is my first time configuring SQL for Dovecot so I am not sure how
"connect" is recognized as an unknown setting?

Thanks.