In 2001 the petroleum sector accounted for 23 percent of the Norwegian gross domestic product (GDP). This is nearly three times the value creation of the Norwegian industry. The sector is important to the revenues of the Norwegian state. In 2001, 32 percent of the revenues came from the petroleum sector. In 2001, 74 000 people was directly employed in the sector, which totals 3 percent of the workforce. 60 000 of these are employed in the supply industry. Indirectly the petroleum sector contributes to approximately 220 000 employed throughout Norway.

In the White Paper on the oil and gas activities, the government states that it will contribute to further development of the oil and gas industry by securing a stable activity level, emphasising technology development and supporting the internationalisation of the industry.

- The oil and gas industry is an exciting industry with a long-term development potential on the Norwegian continental shelf. At the same time there are major challenges to be solved if we are to materialise the long-term scenario, says Mr. Einar Steensnæs, Minister of Petroleum and Energy.

- To facilitate a long-term development, and further develop the oil and gas industry, it is vital to develop new technology and competence. To meet these challenges it is important that the industry is attractive and, attracts highly qualified labour, especially younger people, says Minister Steensnæs.

Petroleum activities on the Norwegian continental shelf (NCS)
in the next 100 years
The petroleum activities play a central role as a value creator in the Norwegian society and has a time perspective longer than most other industries. The expected remaining petroleum resources on the NCS is more than 10.6 billion standard cubic meters (scm) of oil equivalents (oe). During 30 years of production we have only depleted 3.3 billion scm oe, that is less than a quarter of the resources.

The remaining oil and gas resources can, if efficiently managed, be the basis for substantial value creation and activity in a long-term perspective. The remaining resources on the NCS are gradually becoming more difficult to produce, both technologically and commercially. Knowledge and competence are vital to develop the remaining oil and gas resources.

An innovative industry
The oil and gas industry is also a driving force for innovation and development of new technology and working processes in other Norwegian industries. There are close connections between the oil and gas industry and for instance the information technology industry, shipping, finance, insurance as well as other Norwegian energy industries. The indirect economic effects of the oil and gas industry on employment and production in other Norwegian industries are substantial.

For the overall Norwegian economy, a dynamic oil and gas industry with a high activity level is important. To achieve this, the NCS has to be attractive for investments and the Norwegian petroleum industry has to be competitive.

Internationalisation
The future of the Norwegian oil and gas industry depends on its ability to compete on a global scale. Internationalisation of the Norwegian oil and gas industry gives opportunities for development in other areas than the NCS. Today, a lot of companies in the Norwegian oil and gas industry have international activities. Examples of areas where Norwegian companies have done well are subsea technology and reservoir/seismic surveys. In 2001 Norwegian supply companies had an international turnover of 35 billion NOK. The ambition of the industry is to increase this turnover to 50 billion NOK by 2005. Apart from direct impacts on the Norwegian economy, such as export earnings and employment, internationalisation is important for the long-term competitiveness and growth of the companies. International competition is important for learning, innovation and development, and it is a prerequisite for continued growth in the Norwegian oil and gas industry.

The government will support the Norwegian oil and gas industry by facilitating a stable activity level and industrial, technological and competence development.