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                                                                       EXHIBIT 5

[KPMG LOGO]

             KPMG LLP
             CHARTERED ACCOUNTANTS                    Telephone (403) 691-8000
             1200-205 5 Avenue SW                     Telefax   (403) 691-8008
             Calgary AB T2P 4B9                       www.kpmg.ca

Alberta Securities Commission
British Columbia Securities Commission
The Manitoba Securities Commission
Office of the Administrator, New Brunswick
Securities Commission of Newfoundland
Registrar of Securities, Northwest Territories
Nova Scotia Securities Commission
Registrar of Securities, Nunavut
Ontario Securities Commission
Registrar of Securities, Prince Edward Island
Commission des valeurs mobilieres du Quebec
Saskatchewan Securities Commission
Registrar of Securities, Government of the Yukon Territory

July 30, 2003

Dear Sirs

TRANSCANADA PIPELINES LIMITED (THE "COMPANY")

We refer to the short form prospectus of the Company dated November 20, 2002
relating to the sale and issue of $2,000,000,000 Common Shares, Preferred
Shares or Debt Securities of the Company as supplemented by a prospectus
supplement dated November 29, 2002 relating to the sale and issue of Medium
Term Note Debentures (Unsecured), collectively the "Prospectus".

We are the auditors of the Company and under date of February 25, 2003, we
reported on the following financial statements incorporated by reference in
the Prospectus:

     - Consolidated balance sheets as at December 31, 2002 and December 31,
       2001; and

     - Consolidated statements of income, retained earnings and cash flows for
       each of the years in the three-year period ended December 31, 2002.

Also incorporated by reference in the Prospectus are the following unaudited
interim financial statements which have been filed with the securities
regulatory authorities:

     - Consolidated balance sheet as at June 30, 2003;

     - Consolidated statements of income and cash flows for the three-month and
       the six-month periods ended June 30, 2003 and 2002; and

     - Consolidated statements of retained earnings for the three-month and the
       six-month periods ended June 30, 2003 and 2002.




[[[[  KPMG LLP, a Canadian owned limited liability partnership established
      under the laws of Ontario, is a member firm of KPMG International,
      a Swiss association
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We have not audited any financial statements of the Company as at any date or
for any period subsequent to December 31, 2002. Although we have performed an
audit for the year ended December 31, 2002, the purpose and therefore the
scope of the audit was to enable us to express our opinion on the
consolidated financial statements as at December 31, 2002 and for the year
then ended, but not on the financial statements for any interim period within
that year. Therefore, we are unable to and do not express an opinion on the
above-mentioned unaudited interim consolidated financial statements or on the
financial position, results of operations or cash flows as at any date or for
any period subsequent to December 31, 2002.

We have, however, performed a review of the unaudited interim consolidated
financial statements of the Company as at June 30, 2003 and for the
three-month and the six[cad 220]month periods ended June 30, 2003 and 2002. We
performed our review in accordance with Canadian generally accepted standards
for a review of interim financial statements by an entity's auditors. Such an
interim review consists principally of applying analytical procedures to
financial data and making inquiries of, and having discussions with, persons
responsible for financial and accounting matters. An interim review is
substantially less in scope than an audit, whose objective is the expression
of an opinion regarding the financial statements. An interim review does not
provide assurance that we would become aware of any, or all, significant
matters that might be identified in an audit.

Based on our review, we are not aware of any material modification that needs
to be made for these interim consolidated financial statements to be in
accordance with Canadian generally accepted accounting principles.

This letter is provided solely for the purpose of assisting the securities
regulatory authorities to which it is addressed in discharging their
responsibilities and should not be used for any other purpose. Any use that a
third party makes of this letter or any reliance or decisions based on it,
are the responsibility of such third parties. We accept no responsibility for
loss or damages, if any, suffered by any third party as a result of decisions
made or actions taken based on this letter.

Yours very truly

/signed/ KPMG LLP

Chartered Accountants

Calgary, Canada
July 30, 2003