NEW DELHI, Dec 4: Conoco Global Power Inc, a Du Pont Group company has decided to set up small captive power plants in India in collaboration with local partners. The $ 16 billion US power company set up base in India recently and is looking at the 50 mw to 250 mw category of power plants.

Conoco's Managing Director for Asia, M Ramnath said that his company was going to focus on captive power plants as this was an area of strength.

Conoco runs all the captive power plants of Du Pont worldwide and was spun off to manage the power business of the group. ``We will enter into joint ventures and partnerships with Indian companies for setting up captive power plants,'' Ramnath said.

Conoco plans to pick up equity in all the new ventures it forms for the power plants. Ramnath is bullish about the future of power sector in India.

``There is a tremendous business potential, but the rules have to be made transparent and consistent. Once a policy is made, then the Government should stick with it. If some companies do not like it let them leave'' he said. "The uncertainty about reforms tantalises everyone but does not deliver,'' he told a gathering of power industry representatives at a conference organised by the Independent Power Producers Association of India here today.

``Du Pont is very high on India right now. India and China are difficult markets to operate in. But these are the countries where the business potential is,'' Ramnath said.

Conoco is involved in upstream and downstream business in the power sector. From oil and gas exploration to setting up refineries and developing power plants, it does everything. ``We also trade in power in the US. Conoco was set up to creating a vertically integrated power company in the Du Pont Group,'' Ramnath said. Conoco and the American Electric Power company have set up a joint venture which has taken over all the power plants owned and run by Du Pont.

Sanjay Bhatnagar, the managing director of the Dabhol Power Company said that Enron was planning bring a LNG pipeline from Hazira to North India to cater to the needs of Delhi and other states.

Enron also plans to set up a separate company for laying gas and naptha pipelines in the country. ``There is no network for pipelines but there is a great demand.

We would like to focus on this business in the future,'' he said. As part of the American Business Council, Enron has asked a consultant to prepare a energy map of India. This map will identify the power surplus and scarcity areas. It will also look at the different fuel options available in different parts of the country. A map like this will help power developers identify the areas where setting up a power plant will be feasible.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.