Oil fund could help pay fuel bills – SNP

Norway has scheme worth $1bn

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SCOTS could be helped out of fuel poverty if the country had an oil fund like Norway – which is predicted to be worth $1trillion by 2020.

Martin Skancke, director general at the country’s ministry of finance, revealed that the country’s sovereign wealth fund will be worth about $600billion by 2011.

The SNP said the revelations illustrated why a similar oil fund was even more important for Scotland.

MSPs said the cash could be spent on measures to help people struggling to pay soaring fuel bills and insulate their homes.

North-east MSP Brian Adam said: “With independence, Scotland would have access to over 90% of North Sea tax revenues and could emulate Norway's successful oil fund.

“The establishment of a Scottish oil fund can guarantee direct and long-term benefits for people from our own natural resources and this forecast shows the success of the Norwegian fund and the possibilities for Scotland.

“With families already struggling to make ends meet, such a windfall could go towards measures that will help alleviate the problems they face.”

Mr Adam, Aberdeen North MSP, said a fund could be started under the current constitutional arrangements.

He added that if Scotland received an initial 10% share of this year's windfall, it would generate £500million which could form the basis of a long-term Scottish oil fund.

“Earnings could be used to protect hard-pressed sectors of the economy such as ferries, fishermen and public transport,” said Mr Adam.