Think a steady, reliable supply of natural gas doesn't have its challenges? Think again. Last winter, there were a couple of dicey days during a cold snap in January when gas demand spiked and the aging wells in gas producing fields, which are operated by gas producing companies, weren't able to produce enough.

It happened. Luckily gas was diverted from the Kenai gas liquefaction plant operated by ConocoPhillips, so Enstar was able to maintain adequate pressures in its system. Still, it was a close call.

Starring, who took the reins at Enstar in September, doesn't want to see that experience repeated this winter.

How cold the winter will be is always an unknown, but Starring believes changes Enstar and its suppliers made since last January will avert another scramble for gas during a prolonged cold snap.

There have been system upgrades to eliminate constraints in pipeline configurations, which make it easier for the producing companies to shift gas around.

The gas producing companies that supply Enstar - Marathon Oil Co. and Chevron Corp. - are also developing gas storage capabilities, mostly in depleted underground reservoirs. But it can sometimes be a challenge to withdraw large amounts of gas quickly from an underground reservoir.

Starring said Enstar is now working on its own plan for gas storage, which could include storage of liquefied natural gas that could be regasified quickly to accommodate peak demands.

Another immediate priority for Enstar is to complete negotiations for new contracts with producing companies to supply gas to the utility. Enstar had an agreement with Marathon Oil to meet the utility's needs, but the Regulatory Commission of Alaska failed to grant approval last December.

Enstar faces a shortage of contracted gas supply in 2009 that worsens in 2010 and the following years unless new supplies can be contracted. Starring said the company hopes to have the new contracts, which will be for shorter terms than the previous Marathon contract, ready to submit to the RCA in early 2008.

Starring is a veteran gas utility manager who has been with Semco Energy, Enstar's owner, for 31 years. Semco, based in Port Huron, Mich., operates gas distribution utilities in Michigan through Semco Energy Gas Co. and in Alaska through Enstar. The company is also in the propane, intrastate pipeline and gas storage business in the Lower 48.

Starring replaced Tom East, who is retiring this year. She began her career in 1977. The first 17 of her years with Semco involved positions in customer service, marketing and accounting. Starring then went on to operations management positions before going into management.

Her last assignment before taking over Enstar was managing a Semco utility in Southwestern Michigan with 160 employees and 170,000 customers, about the same size as Enstar. She was regional vice president for western Michigan for Semco Energy Gas Co.

Semco was recently acquired by Cap Rock Holding Corp. and part of the acquisition agreement requires Cap Rock to put $100 million in equity into Semco.

“This investment vastly improves the company's balance sheet and provides additional opportunities for the entire company,” Starring said.

The potential for Enstar to grow its business in Alaska helped attract Cap Rock to Semco.

“We typically see about 1 percent a year growth across most of our service areas in the Lower 48, and some areas are flat or even declining by small degrees. But Alaska has typically seen 3 percent growth per year and that far outpaces our business in the Lower 48,” Starring said.

The outlook is for more demand to be placed on Enstar in the next two years with 5 million square feet of new commercial building space being built in the Anchorage bowl area.

Cap Rock is also interested in major new business areas, like a spur pipeline that could connect with a large-diameter North Slope pipeline, if one is built, to bring gas from the Slope into Enstar's system.

“There are tremendous opportunities but also tough challenges related to securing adequate future gas supplies for our customers,” Starring said.