N@N

WASHINGTON--([ BUSINESS WIRE ])--Calpine Corporation (NYSE:CPN), the countryas largest independent power producer, commends the U.S. Environmental Protection Agency (EPA) on the release of its final rule to establish National Emissions Standards for Hazardous Air Pollutants for power plants, mandated under the 1990 amendments to the Clean Air Act passed by a bipartisan Congress. The Mercury and Air Toxics Standards (MATS) set national limits for toxic air emissions a" including mercury, arsenic, lead and acid gases a" from power plants. It is the culmination of an almost decade-long process during which the EPA weighed scientific, economic and other considerations. It is noteworthy that the final rule reflects changes from the EPAas proposed rule based on comments from the electric power industry, including grid operators charged with assuring reliability.

"Although we are still evaluating the details of the rule, we believe the EPA has finalized a reasonable rule and that the industry is well positioned to comply with the limits while maintaining the reliability of the electric system"

aAlthough we are still evaluating the details of the rule, we believe the EPA has finalized a reasonable rule and that the industry is well positioned to comply with the limits while maintaining the reliability of the electric system,a said Jack Fusco, CEO and President of Calpine Corporation. aThe evidence is compelling:

• nearly 60% of the U.S. coal fleet already has scrubbers installed or under construction;
• according to a recent report by the Analysis Group and Michael J. Bradley & Associates, eleven of the largest fifteen owners of coal generation in the U.S. have indicated that they are well positioned to comply;
• the industry added more than 115 gigawatts of new natural gas generation capacity early in the last decade in a three- to four-year period, demonstrating the ability of the industry to respond swiftly when required;
• today, the countryas fleet of combined-cycle natural gas plants is being utilized by less than 50% of available capacity a" this excess capacity is available to help offset the projected retirement of the oldest, dirtiest plants and help ensure reliability;
• to address any potential reliability concerns, the rule provides that where compliance by the third year isnat possible, the state permitting authority may extend the deadline another year; in addition, the EPA has the authority to extend it for a fifth year; and
• the grid operator for PJM a" the largest independent system operator in the U.S. covering 13 states and the District of Columbia, from Illinois to New Jersey and Pennsylvania to North Carolina a" expressed support for the process the EPA outlined to preserve reliability and is committed to ensure the reliability of the grid is maintained.

aIn our view, the final rule reflects thoughtful engagement by the EPA with the industry and can be implemented in a cost-effective way while achieving its objective of reducing the toxics in our air,a said Fusco.

About Calpine

Founded in 1984, Calpine Corporation is a major U.S. power company, currently capable of delivering approximately 28,000 megawatts of clean, cost-effective, reliable and fuel-efficient power from its 92 operating plants to customers and communities in 20 U.S. states and Canada. Calpine Corporation is committed to helping meet the needs of an economy that demands more and cleaner sources of electricity. Calpine owns, leases and operates primarily low-carbon, natural gas-fired and renewable geothermal power plants. Using advanced technologies, Calpine generates power in a reliable and environmentally responsible manner for the customers and communities it serves. Please visit our website at [ www.calpine.com ] for more information.

Forward-Looking Information

In addition to historical information, this release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Words such as abelieve,a aintend,a aexpect,a aanticipate,a aplan,a amay,a awilla and similar expressions identify forward-looking statements. Such statements include, among others, those concerning expected financial performance and strategic and operational plans, as well as assumptions, expectations, predictions, intentions or beliefs about future events. You are cautioned that any such forward-looking statements are not guarantees of future performance and that a number of risks and uncertainties could cause actual results to differ materially from those anticipated in the forward-looking statements. Please see the risks identified in this release or in Calpineas reports and registration statements filed with the Securities and Exchange Commission, including, without limitation, the risk factors identified in its Annual Report on Form 10-K for the year ended Dec. 31, 2010, and its Quarterly Reports on Form 10-Q for the quarters ended March 31 and June 30, 2011. These filings are available by visiting the Securities and Exchange Commissionas website at [ www.sec.gov ] or Calpineas website at [ www.calpine.com ]. Actual results or developments may differ materially from the expectations expressed or implied in the forward-looking statements, and Calpine undertakes no obligation to update any such statements.