OPSI Annual Meeting

Bob HayesVice President Natural Gas Trading

October 13, 2014

2

Safe Harbor Statement

Forward-Looking StatementsThe information contained in this presentation includes certain estimates, projections and other forward-looking information that reflect Calpine’s current views with respect to future events and financial performance. These estimates, projections and other forward-looking information are based on assumptions that Calpine believes, as of the date hereof, are reasonable. Inevitably, there will be differences between such estimates and actual results, and those differences may be material.

There can be no assurance that any estimates, projections or forward-looking information will be realized.

All such estimates, projections and forward-looking information speak only as of the date hereof. Calpine undertakes no duty to update or revise the information contained herein other than as required by law.

You are cautioned not to place undue reliance on the estimates, projections and other forward-looking information in this presentation as they are based on current expectations and general assumptions and are subject to various risks, uncertainties and other factors, including those set forth in Calpine’s Annual Report on Form 10-K for the year ended December 31, 2011, and in other documents that Calpine files with the SEC. Many of these risks, uncertainties and other factors are beyond Calpine’s control and may cause actual results to differ materially from the views, beliefs and estimates expressed herein. Calpine’s reports and other information filed with the SEC, including the risk factors identified in its Annual Report on Form 10-K for the year ended December 31, 2011, can be found on the SEC’s website at www.sec.gov and on Calpine’s website at www.calpine.com.

Reconciliation to U.S. GAAP Financial InformationThe following presentation includes certain “non-GAAP financial measures” as defined in Regulation G under the Securities Exchange Act of 1934, as amended. Schedules are included herein that reconcile the non-GAAP financial measures included in the following presentation to the most directly comparable financial measures calculated and presented in accordance with U.S. GAAP.

Calpine has a total PJM footprint of ~5.0 GW

Map from Energy Velocity33

PJM Asset Profile:

Combined Cycle Simple cycle Solar Garrison Energy Center

York 2 Energy Center

Recently Announced: York 2 Energy Center

Current Generating Assets:

• Garrison Energy Center– 309 MW natural gas-fired CCGT– Dual fuel capable– Located in Dover, DE– Target COD: Phase 1 – 2015;

Phase 2 - TBD

Projects Under Construction:

Efficient, flexible combined-cycle

2,825 MW

Quick-ramping (peaking) simple-cycle / Other

2,007 MW

Renewable solar 4 MW

Total 4,832 MW

NAESB – What they did and did not do

• FERC Directives:– Gas Proceeding, Notice of Proposed Rulemaking (NOPR)

• Start the Gas Day earlier to avoid morning electric ramp period• Push the timely nomination cycle to later in the day to allow electric utilities time to finalize

scheduling before gas-fired generators need to procure and schedule fuel supplies• Add additional intraday nomination cycles to provide greater flexibility

– Electric Proceedings• FERC initiated Section 206 proceedings for each RTO/ISO• Ninety days after final rule in Gas NOPR each ISO and RTO must modify their tariffs, if needed, to

ensure that day-ahead electric schedules are finalized before the day-ahead gas nomination deadlines.

• FERC delayed the NOPR comment period to allow the industry an opportunity to develop an alternative consensus proposal that met the FERC’s objectives

• NAESB led this effort, did not reach a super majority consensus on a complete alternative package

• After 180 days, NAESB filed a report to FERC proposing new gas scheduling deadlines but noted it was unable to provide guidance on the start of the gas day

4

Gas Electric HarmonizationCalpine’s View on NAESB Proposal

• Calpine has demonstrated its ability to be successful and reliable under the current gas and electric scheduling timelines, but we do find the proposed changes helpful

• Calpine does support the gas scheduling timelines that NAESB has proposed, but we would also like to see an earlier start to the gas day to avoid the bifurcation of the morning electric ramp

• Calpine supports 4:00 a.m. (Central) which was proposed by FERC and was generally endorsed by the RTO and ISO participants in the NAESB process

• In order to maximize the benefit of these proposed changes to the gas timelines, there must be corresponding adjustments by the electric industry

• New NAESB standards may not resolve challenges with non-jurisdictional pipeline systems such as LDCs

5

Electric Dispatch Instructions

Gas Scheduling

Winter Operations

• Calpine successfully managed our PJM fleet through an extremely challenging winter– Contended with increased pipeline restrictions and challenging supply and balancing

conditions– No fuel supply issues– Met PJM needs when called

• Fuel oil back up provided tremendous flexibility to our PJM fleet– Record volumes consumed by Calpine’s fleet during winter 2013-14

• Pipeline balancing flexibility has diminished– Reduced ability to adjust burns up or down intraday– Increased penalties for over/under burns– More ratable take requirements– Operational flow orders (OFOs) issued more frequently with increased OFO penalties

• Market is responding - expectation of greater supply preparation– LNG supply returning to New England– Additional pipeline deliverability expansions across northeast

• Calpine favors hourly rebidding, which helps solve the gas day issue

6