NOTES TO CONSOLIDATED FINANCIAL STATEMENTS  Hydro One pays a $5 million annual fee to the OEFC for indemnification against adverse claims in excess of $10 million paid by the OEFC  with respect to certain of Ontario Hydro’s businesses transferred to Hydro One on April 1, 1999. PILs and payments in lieu of property taxes are paid to the OEFC, and dividends are paid to the Province. Sales to and purchases from related parties occur at normal market prices or at a proxy for fair value based on the requirements of the OEB’s  Affiliate Relationships Code. Outstanding balances at period end are interest free and settled in cash.  At December 31, 2013, the Company held $250 million in Province of Ontario Floating-Rate Notes with a fair value of $251 million (2012 – $251 million). The amounts due to and from related parties as a result of the transactions referred to above are as follows: 1  Included in due to related parties at December 31, 2013 are amounts owing to the IESO in respect of power purchases of $217 million (2012 – $199 million).  The changes in non-cash balances related to operations consist of the following: The following table illustrates the reconciliation between investments in property, plant and equipment and the amount presented in the  Consolidated Statements of Cash Flows after factoring in the net change in related accruals: HYDRO ONE ANNUAL REPORT 2013 91 Capital Expenditures 21. CONSOLIDATED STATEMENTS OF CASH FLOWS December 31 (millions of Canadian dollars) 2013 2012 Due from related parties  197 154 Due to related parties 1 (230) (261) Investment  251 251 Year ended December 31 (millions of Canadian dollars) 2013 2012 Accounts receivable  (78) (30) Due from related parties  (43) 2 Materials and supplies  – 2 Other assets  (5) (4) Accounts payable  (60) (5) Accrued liabilities  150 10 Due to related parties  (31) (85) Accrued interest  5 10 Long-term accounts payable and other liabilities  (11) 13 Post-retirement and post-employment benefit liability  84 56 11 (31) Year ended December 31 (millions of Canadian dollars) 2013 2012 Capital investments in property, plant and equipment  (1,312) (1,363) Net change in accruals included in capital investments in property, plant and equipment  (21) (10) Capital expenditures – property, plant and equipment  (1,333) (1,373)