Annual report pursuant to Section 13 and 15(d)

Property, plant and equipment

Property, plant and equipment

12 Months Ended

Dec. 31, 2022

Property, Plant and Equipment [Abstract]

Property, plant and equipment at December 31, 2022 and 2021 consisted of the following:


	Estimated Useful Life (in Years)	2022		2021
Energy systems	10 - 15 years	$	2,810,232	$	3,556,488
Machinery and equipment	5 - 7 years	1,624,885		1,463,153
Furniture and fixtures	5 years	196,007		193,698
Computer software	3 - 5 years	192,865		192,865
Leasehold improvements	*	466,789		466,789
		5,290,778		5,872,993
Less - accumulated depreciation and amortization		(3,883,058)		(4,090,049)
Net property, plant and equipment		$	1,407,720	$	1,782,944

* Lesser of estimated useful life of asset or lease term

Depreciation and amortization expense on property and equipment for the years ended December 31, 2022 and 2021 was $501,418 and $591,047, respectively.

During the year ended December 31, 2022, we determined that three of the ADGE customer contracts terminated due to the customers failure to perform their obligations pursuant to the contractual agreements and deemed the assets related to the contracts at these sites to be impaired. We recorded a non-cash impairment of $156,655 which is included in the consolidated statement of operations for the year ended December 31, 2022, within long-lived asset impairment.

During the year ended December 31, 2021 there were no ADGE contract terminations.