deleting partition c to reinstall of XP?

I need to do a clean install of Home HP. From attempting to reinstall from the CDROM, if I select c:, it says there is already another OS installed on C: and it’s a bad idea to install another. Can I safely delete c: and recreate c: in teh unpartitioned space? The message scared me a bit. My install options are -:\Partition1 Fat32 (31MB) , c:\Partition2 NTFS (alot more MB) and unpartitioned space (8MB). NTFS is suppposed to be the preferred.

FYI- this is a new computer with no data of importance. Re-installing programs is not a problem. Time is of the essence!

Thanks!