Exhibit 99.3      Press Release Dated May 2, 2000

NEWS RELEASE
Contact: Calpine (408) 995-5115
Public Relations      Katherine Potter  ext. 1168
Investor Relations    Rick Barraza      ext. 1125

Calpine To Acquire Remaining 50% Interests In Two Gas-Fired Energy Facilities In
New York

Company to Add 74 Megawatts of Generation in Northeast Power Market

(SAN JOSE, CALIF.) May 2, 2000 -- Calpine Corporation  [NYSE:CPN],  the nation's
leading  independent power company,  today announced it has reached an agreement
with an affiliate of Alexandria,  Va.-based Statoil Energy,  Inc. to acquire the
remaining 50 percent interests in the 107-megawatt Kennedy International Airport
Power Plant in Queens,  N.Y. and the 40-megawatt Stony Brook Power Plant located
at the  State  University  of New York at Stony  Brook on Long  Island.  Calpine
initially  acquired a 50 percent  interest in both  facilities in December 1997.
The company will assume  operation and maintenance of the plants upon completion
of the acquisition in May 2000.

"This acquisition  furthers  Calpine's goal of establishing a significant market
presence in certain key markets, one of which is the area in and around New York
City," stated  Calpine Senior Vice  President and Eastern  Region  Manager,  Bob
Alff.  "These  efficient  natural  gas-fired power plants will play an important
role in a planned system of Calpine  generating plants to serve the customers in
this market."

Kennedy  International Airport Power Plant - Electricity and thermal energy from
this 107-megawatt  cogeneration  plant in Queens,  N.Y., is sold to the New York
Port  Authority  for use at the John F. Kennedy  International  Airport  under a
long-term  power  sales  agreement.  Power is also sold to  Consolidated  Edison
Company of New York,  Inc.,  other  utility  customers and to the New York Power
Authority.

Stony  Brook  Power Plant - Stony  Brook is a  40-megawatt  cogeneration  plant.
Electricity  and  steam are sold to the  State  University  of New York at Stony
Brook through 2023. Excess power is sold to Long Island Power Authority.

Calpine  Corporation  is the leading  independent  power  company  dedicated  to
providing  customers  with reliable and  competitively  priced  electricity  and
thermal  energy.  Calpine  is active  in 20 states  and  Alberta,  Canada,  with
corporate  headquarters  in San Jose,  Calif.  and regional  offices in Houston,
Texas; Pleasanton, Calif.; and Boston, Mass. Calpine currently has approximately
17,200  megawatts of capacity in operation,  under  construction or in announced
development - enough energy to power  approximately 17 million  households.  The
company  was  founded  in 1984 and is  publicly  traded  on the New  York  Stock
Exchange under the symbol CPN.

The matters  discussed in this news release may be considered  "forward looking"
statements  within the meaning of Section 27A of the Securities and Exchange Act
of 1993, as amended,  and Section 21E of the Securities Exchange Act of 1934, as
amended.  Such statements include declarations  regarding the intent,  belief or
current  expectations of the Company and its management.  Prospective  investors
are cautioned  that any such  forward-looking  statements  are not guarantees of
future  performance  and  involve a number of risks  and  uncertainties;  actual
results could differ  materially  from those  indicated by such  forward-looking
statements.  Among the  important  factors  that could  cause  results to differ
materially from those indicated by such forward-looking statements are: (i) that
the  information  is of a  preliminary  nature  and may be  subject  to  further
adjustments,   (ii)  risks   associated   with  power  plant   acquisitions   or
mergers,including obtaining any necessary third party approvals (iii) changes in
government regulation, (iv) general operating risks, (v) the dependence on third
parties,  (vi) the  dependence  on  senior  management  and  (vii)  other  risks
identified  from  time  to  time  in  the  Company's  reports  and  registration
statements filed with the Securities and Exchange Commission.








                                   SIGNATURES

Pursuant to the  requirements  of the  Securities  and Exchange Act of 1934, the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.

CALPINE CORPORATION

By:      /s/ Ann B. Curtis                                 Date:   May 15, 2000
         ---------------------------
         Ann B. Curtis
         Executive Vice President
         (Chief Financial Officer)

By:      /s/ Charles B. Clark, Jr.                         Date:   May 15, 2000
         ---------------------------
         Charles B. Clark,  Jr.
         Vice  President  and  Corporate Controller
         (Chief Accounting Officer)