You can set the fuses with 'avrdude' or let it be done by Arduino0022 as part of burning a bootloader.
The normal settings for the "Arduino NG or older w/ ATmega8" are:
Unlock Bits: 0x3F
Low Fuses: 0xDF
High Fuses: 0xCA
Lock Bits: 0x0F
The lock bits are what sets aside room for a bootloader so you should probably just use the Unlock Bits.
You can put the lines below into (Arduino sketch folder)/hardware/boards.txt and re-start Arduino0022. Then you can 'burn a bootloader' on your "Unlocked ATmega8" and it will set all the right fuses and but NOT create a protected bootloader area.
uatmega8.name=Unlocked ATmega8
uatmega8.upload.protocol=stk500
uatmega8.upload.maximum_size=8192
uatmega8.upload.speed=19200
uatmega8.bootloader.low_fuses=0xdf
uatmega8.bootloader.high_fuses=0xca
uatmega8.bootloader.path=atmega8
uatmega8.bootloader.file=ATmegaBOOT.hex
uatmega8.bootloader.unlock_bits=0x3F
uatmega8.bootloader.lock_bits=03F
uatmega8.build.mcu=atmega8
uatmega8.build.f_cpu=16000000L
uatmega8.build.core=arduino