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World Bank agency offers help in resolving Enron imbroglio

World Bank's Multilateral Investment Guarantee Agency on Thursday offered to help in solving the Enron imbroglio saying it had wide experience in tackling power tariff tangles.

"We have lot of experience in resolving power tariff tangles world over," MIGA Vice President Motomichi Ikawa said, adding "we have however not been approached by the parties involved in the dispute."

Ikawa, who is on a three-day visit to India, also said MIGA would prefer the dispute to be resolved bilaterally. If approached "we could help in resolving the issue."

The $2.9 billion Enron-promoted Dhabol Power Project has been shut down after a power tariff dispute between the multinational company and the Maharashtra Government.

MIGA provides guarantee to companies investing abroad by providing necessary insurance and other covers. Such protection is provided in war situations, balance of payment and political crises in countries where foreign investments are made.

Ikawa said that MIGA has already helped Indian companies for setting up units in Africa -- a bicycle company in Tanzania and an IT company in Zambia.

During Ikawa's India visit MIGA has been able to firm up proposals of half a dozen companies for setting up units in Latin America.

Ikawa said he would not like to give details at this stage but said they are in pharmaceutical and IT sectors and the investment involved was $30 to $40 million. The investments would be made in Columbia and Brazil.

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