EnergyAnchorage · August 2, 2026

we could run short this winter

Enstar's president warned that if this winter matches last winter, Southcentral Alaska won't get through it without gas curtailment.

Daily Alaska staff · August 2, 2026 · Anchorage

Enstar Natural Gas president John Sims said this week that if Southcentral Alaska faces a winter like last year's, the region will not get through it without gas rationing. Enstar serves Anchorage, the Mat-Su Valley and the Kenai Peninsula, and the warning comes as Cook Inlet gas production falls short of regional demand and storage came out of a cold spring lower than utilities wanted.

Under Enstar's curtailment plan, cuts would start with industrial facilities, then move to businesses, then to churches, schools and hospitals, with homes cut last.

Enstar pays $8.78 per thousand cubic feet under its contract with Hilcorp, and its current weighted average gas cost is $10.80. The company offered $17.50 per thousand cubic feet to spur new drilling in Cook Inlet but got no takers, even though Hilcorp has drilled 192 wells in the Inlet since 2011, including 27 this year.

Homer Electric Association's head of power production said a winter like last year's could put the utility in trouble. Matanuska Electric Association has expanded its diesel generation backup runtime from about two weeks to about two months.

Enstar must file for gas import facilities no later than the end of this year, with imported gas potentially arriving by 2029.

In this story

Questions people ask

what did Enstar president warn about this winter

If this winter matches last winter, Southcentral Alaska won't get through it without gas curtailment, which could mean cuts to your heating and appliances.

who gets gas cut first if rationing happens

Industrial facilities are cut first, then businesses, then churches, schools and hospitals, with homes cut last.

how much is Enstar paying for natural gas now

Enstar pays 8.78 dollars per thousand cubic feet under its Hilcorp contract, with a blended cost of 10.80, and offered 17.50 per thousand to spur new drilling with no takers.

when might imported gas arrive Southcentral Alaska

Enstar must file for gas import facilities by the end of this year, with imported gas potentially arriving by 2029.

Evidence

Sources

Claims and where they come from

  • Enstar president John Sims said Southcentral Alaska would need gas curtailment if this winter matches last winter's conditions. · alaskabeacon.com
  • Enstar pays $8.78 per thousand cubic feet under its Hilcorp contract and has a blended gas cost of $10.80. · alaskabeacon.com
  • Hilcorp has drilled 192 wells in Cook Inlet since 2011, including 27 this year. · alaskabeacon.com
  • Matanuska Electric Association expanded its diesel generation backup runtime from about two weeks to about two months. · alaskabeacon.com
  • Enstar must file for gas import facilities by the end of this year, with gas potentially arriving by 2029. · alaskabeacon.com

Produced with AI assistance, narrated with Slav Lund's voice clone with his consent, and reviewed by a person before publishing. How we use AI →

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