Ecommerce Essentials for North American Oil & Gas Janice Hamilton, Manager Supply Chain Systems and Processes

Forward-Looking Information This presentation includes certain forward looking information to help current and potential investors understand management’s assessment of our future plans and financial outlook, and our future prospects overall. Statements that are forward-looking are based on certain assumptions and on what we know and expect today and generally include words like anticipate, expect, believe, may, will, should, estimate or other similar words. Forward-looking statements do not guarantee future performance. Actual events and results could be significantly different because of assumptions, risks or uncertainties related to our business or events that happen after the date of this presentation. Our forward-looking information is based on the following key assumptions: planned monetization of our U.S. Northeast power assets and a minority interest in our Mexican natural gas pipeline business, inflation rates, commodity prices and capacity prices, timing of financings and hedging, regulatory decisions and outcomes, foreign exchange rates, interest rates, tax rates, planned and unplanned outages and the use of our pipeline and energy assets, integrity and reliability of our assets, access to capital markets, anticipated construction costs, schedules and completion dates, acquisitions and divestitures. Our forward looking information is subject to risks and uncertainties, including but not limited to: our ability to successfully implement our strategic initiatives and whether they will yield the expected benefits including the expected benefits of the acquisition of Columbia, timing and execution of our planned asset sales, the operating performance of our pipeline and energy assets, economic and competitive conditions in North America and globally, the availability and price of energy commodities and changes in market commodity prices, the amount of capacity sold and rates achieved in our pipeline businesses, the amount of capacity payments and revenues we receive from our energy business, regulatory decisions and outcomes, outcomes of legal proceedings, including arbitration and insurance claims, performance of our counterparties, changes in the political environment, changes in environmental and other laws and regulations, construction and completion of capital projects, labour, equipment and material costs, access to capital markets, interest and foreign exchange rates, weather, cyber security and technological developments. You can read more about these risks and others in our most recently filed Quarterly Report to shareholders and the 2015 Annual Report filed with Canadian securities regulators and the U.S. Securities and Exchange Commission (SEC) and available at www.transcanada.com. As actual results could vary significantly from the forward-looking information, you should not put undue reliance on forward- looking information and should not use future-oriented information or financial outlooks for anything other than their intended purpose. We do not update our forward-looking statements due to new information or future events, unless we are required to by law. Before I get started, I need to remind you that some of the information in this presentation will include forward-looking statements that are subject to important risks and uncertainties. For more information on these risks and uncertainties, please see our most recent filings with Canadian securities regulators, and the U.S. Securities and Exchange Commission

Our Mission, Vision and Values To provide reliable supplies of energy across the continent – safely and responsibly. We are proud that millions of North Americans can depend on us for the energy they need. Our Vision To be the leading energy infrastructure company in North America, focusing on pipeline and power generation opportunities in regions where we have, or can develop, a significant competitive advantage. Our Values Integrity | Collaboration | Responsibility | Innovation Our mission is to safely and responsibly provide reliable supplies of energy across North America. We are proud that millions of North Americans can depend on us for the energy they need every day. Our vision is to be the leading energy infrastructure company in North America, focusing on pipeline and power generation opportunities in regions where we have, or can develop, a significant competitive advantage. Our values of integrity, collaboration, responsibility and innovation guide our business decisions and our priorities of safety 24/7, economic success, protecting the environment and supporting communities.

TransCanada Corporation (TSX/NYSE: TRP) One of North America’s Largest Natural Gas Pipeline Networks Operating 90,300 kms (56,100 miles) of pipelines Transports more than 25 per cent of continental demand North America’s Largest Natural Gas Storage Operator More than 664 Bcf of capacity Canada’s Largest Private Sector Power Generator 17 power facilities, 10,500 MW Diversified portfolio, including wind, hydro, nuclear, solar and natural gas Premier Liquids Pipeline System Keystone Pipeline System: 4,300 km (2,700 miles), 545,000 bbl/d contracted capacity Safely delivered more than 1.3 billion barrels of Canadian oil to U.S. markets since 2010 After 65 years of steady growth, TransCanada’s footprint now extends across North America – in Canada, the United States and Mexico – in three core businesses: Natural Gas Pipelines, Liquids Pipelines and power generation.

Ecommerce in North America What has changed in the last 20 years? Are the essentials changed because of the technology?

What are the essentials of Ecommerce? Management Support Partner with Key Suppliers Master Data Cleanup Internal Buy In Reporting and KPI’s Contract Terms and Conditions

More than 10 years ago In the late 90’s orders tickets were mailed to suppliers, who brought in the tickets and were paid ERS- only technology here EDI between ticketing and SAP In the mid 2000’s we were faxing the orders, scanning the tickets with barcodes and we had a single web portal where selected suppliers uploaded their invoices

Last 10 years Buyers Suppliers

Is the essential really the technology? Technology only speeds up the transaction, changes constantly and is becoming more irrelevant every day True ecommerce is represented by the evolving relationship between Buyer and Supplier- it is constantly changing! The Essentials never change, they must be present to maintain the relationship.

Essentials at a Glance Essentials of Ecommerce Relationships Management Buy In Stakeholder Buy In Partnership Between Buyers & Suppliers Data Data Standards Strong Process Reporting & Meaningful KPI’s

Relationships Management Buy In Stakeholder Buy In Upper management must support the ecommerce goals and drive the organization to realize long term benefits. Stakeholder Buy In Key stakeholders must be involved early and often Partnership between Buyer and Supplier Partnerships between Buyer and Key suppliers must start early in the program This must not be IT management! Management needs to communicate that an ecommerce program is not a project and is a priority for the organization. Ecommerce projects are always a serious investment with long term ROI Things will look more complex before they improve, keeping the long term goal in mind is key- management and stakeholders Ecommerce affects almost everyone in the organization one way or the other- senior management to front line staff. Be ready to explain what you are doing 1000’s of times, all of your stakeholders must be engaged There are risks and process perspectives that must be communicated and understood There are lots a levels of understanding and experience across the industry that should be leveraged The technology is every changing, the relationship will not end after the initial implementation

Data Standards Strong Process Reporting and KPI’s Transacting outside your company is much different than communicating within. Using industry standards greatly reduces complexity Strong Process Your own systems, data and processes must be in order Reporting and KPI’s You can only manage what you measure Contract terms and conditions At least basic electronic invoicing instructions should be in place to make suppliers aware that the company intends to transact electronically Using recognized standards for your master data reduces the mapping that needs to be done on both sides of the transaction Using standard transaction templates reduces the complexity of any required data integration and therefore reduces costs related to maintaining the program Standardized business processes helps all transactions across your organization look the same to trading partners. Strong process around master data is especially important. All data must be in a lifecycle. providing good electronic invoicing instructions in your standard goods and services agreements templates goes a long way to easing the fear.

Overview of Essentials Management Support Partner with Key Suppliers Master Data Cleanup Internal Buy In Reporting and KPI’s Contract Terms and Conditions