Like any tool, it can be used or misused. However the intent of 'narrative' games like Hero Wars, IMO, at their heart co-operative and should be less concerned with adjuticating winners and losers than telling a story. You don't try to beat the players, you cooperate to tell an interesting story.
Throwing the dice introduces the random factor that eases the burden on the narrator and creates an element of chance that generates tension and excitement. But, sometimes, the dice result is wrong for your desire for the story. Hero Points give you the chance to alter fortune so that the story is what you want. Both narrator and characters are hostages to fortune when the dice are thrown and both therefore might deserve hero points to change the outcome. But that is why it is important to narrate them, because they are an inseretion into the story being told (the forge has a lot of articles and advice on this sort of thing http://www.indie-rpgs.com/).
Sure you could just say 'I bump the result', but this smacks too much of fiat and does not balacne player and narrator opportunity to affect the story.
Hero Points mark your importance in the story. For the players Hero Points are a reward for your actions so far participation in the narrative so far. In many ways they ought to be so for the narrator character too - a reward for role in the story so far. I would only give them to a long standing enemy whose sudden defeat would cheapen his final defeat. That is why I suspect a pool of hero points for the narrator to draw on, on a non-character basis would not be as effective.
But YMMV.
The idea of Hero Point pools in various areas is workable, I think. A little too much book keeping for my taste, but could allow a player to emphasize what parts of the story he is most dominant in. Its a question of taste.
"They were seven in all, and therewithal both sides rushed into the fight. Thorarin slew a house-carle of Thorbiorn's, and Alfgeir another, and there fell also a housecarle of Thorarin's; but no weapons would bite on Odd Katlason. Now the goodwife Aud calls out on her women to part them, and they cast clothes over the weapons." The Story Of The Ere-Dwellers Chapter 18
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