53 Caribbean Utilities Company, Ltd.  2011  Annual Report Notes to Financial Statements (Expressed in thousands of United States dollars) 21. Taxation 22. Transactions with Related Parties 23. Commitments 24. Subsequent Events 25. Comparative Figures Under current laws of the Cayman Islands, there are no income, estate, corporate, capital gains or other taxes payable by the Company. The Company is levied custom duties of $0.85 per IG of diesel fuel it imports. In addition, the Company pays customs duties of 15% on all other imports. Miscellaneous receivables from FortisTCI, also a subsidiary of Fortis Inc. totalling $0.01 million were outstanding at December 31, 2011 ($0.04 million December 31, 2010) for engineering assistance and are included within Accounts Receivable on the Balance Sheet. Miscellaneous payables to Fortis Inc., the Company’s majority shareholder, were nil at December 31, 2011 ($0.03 million as at December 31, 2010). Prior year amounts related to travel expenses and were included within the Accounts Payable and Accrued Expenses on the Balance Sheet. Miscellaneous receivables from  management were nil at December 31, 2011 ($0.001 million as at December 31, 2010) for insurance expenses and are included within Accounts Receivable on the Balance Sheet. In June 2007, the Company renewed its Primary Fuel Supply Contract with Esso Cayman Limited (“Esso”). As a condition of the new contract, the point of delivery for fuel billing purposes has moved from the Company’s Power Plant compound to the Esso terminal. CUC also assumed responsibility for the management of the fuel pipeline (fuel suppliers will continue to pay the regular throughput fee) and ownership of bulk fuel inventory at the North Sound Road Power Plant. The Company is committed to purchase 80% of the Company’s fuel requirements for the running of the Power Plant from Esso, the contract was for three years terminating in April 2010. The approximate quantities per the contract on an annual basis are, by fiscal year in millions of IGs: 2012 - 10.2. The contract contains an automatic renewal clause for the years 2010 through to 2012. The Company has renewed the contract until April 30, 2012.  As a result of the Company’s bulk fuel inventory, the value of CUC’s closing stock of fuel at December 31, 2011 was $3.1 million (December 31, 2010: $2.6 million). This amount includes all fuel held in CUC’s bulk fuel storage tanks, service tanks and day tanks located at the North Sound Road Power Plant. The Company’s analysis of the cost effectiveness of refurbishing the damaged 7.59 MW unit was concluded in February 2012. The investigation indicated that refurbishment of the damaged unit would not be cost effective. The ERA has been provided with the results of the Company’s assessement in order to approve the retirement of the unit. In February 2012, the Company purchased two of the temporary generating units that were placed into service in the Second Quarter of 2011. The purchase of these units ensures that the Company is in compliance with capacity requirements. Certain comparative figures have been reclassified to conform with current year disclosure.