"If we can break more people out of a criminal career by allowing private companies run prisons, we should certainly do it," Conservative MP Michael Tetzschner said.
Norway's Labour Party has come under pressure on prison policy in this election after it was reported that the queue for places in prisons has tripled in length over the past four years.
Kristin Bergersen, Labour's deputy justice minister, rejected the idea.
"It is not relevant. Sentencing is a public task," she said.
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