1. Have a 15 years moratorium on spending anything from the fund from the start of lunch, to discourage current officials in government from messing with it.
2. Let the fund be managed by Professionals in the investment business.
3. Have it earmarked solely for the "future:"
a. spending for young children (0-12 years) for primary health care and education. and4. Setting a spending cap of only 75 percent at most of the net earnings from the investments, the balance of 25 percent to be further added to the principal.
b. projects that mitigate any effects that mining or similar extractive activities have on the environment.
5. A competitive bidding for projects to be funded, both private sector and government agencies can participate.
6. Have a bidding committee composed mostly of volunteers from institutions like churches (INC, Catholic, Protestants, Born Again, Islamic institutions) and perhaps experts from the academe.
7. Set in place a monthly reporting/updating system on liquidating expenses that can be viewed publicly through social networks
8. East Timor, which became a sate only in 2005(?) has already a huge Sovereign Wealth Fund in billions of dollars from their Petroleum industry. Even Singapore which has no extractive industry has huge Sovereign Wealth Fund.
9. The 15 years moratorium can be extended to 20 or 25 years.
Long term investing generates more consistent results if you look at historical
returns of most indexes. This practically takes the current generation away
from the funds. It is for the future generation.
But the intent of the law must be respected, that only energy-related projects should be funded from it. Then the fund should be used to develop more energy sources. When electricity supply is stable and affordable, faster development can happen. Energy is development.