Note 7: Commitments Operating Leases The Company leases a facility from Lu Pacific Properties, LLC (Lu Pacific), formerly, Powin Pacific Properties, LLC, a company owned by Joseph Lu, the Companys largest shareholder, Chairman of the Board and CEO, which serves as the Companys corporate headquarters as well as the base of all operations. This lease is through September 30, 2021 and requires the Company to pay for all property taxes, utilities and facility maintenance. Effective January 1, 2017, the Company entered into a lease amendment. The Company leased 28,275 square feet of the building. The lease term is through September 30, 2021 and all property taxes, utilities and facility maintenance were charge at $0.15 per square foot per month by Lu Pacific Properties, LLC. The monthly rental expense is $17,706.50. The Company leases a facility from 3U Millikan, LLC, a company owned by Xilong Zhu, a member of the Companys Board of Director. The lease is for its Southern California Edison Project at Irvine, California location. This lease commenced on October 10, 2016 and will terminate on January 9, 2027 and requires the Company to pay for all property taxes, utilities and facility maintenance. The monthly base rental expense is $17,550, commencing January 1, 2017 and ending January 9, 2027. On April 30, 2016, the Company entered into a lease option with Don Lee Place Investors, LLC, a non-related party for its San Diego Gas &amp; Electric project. The Company optioned 4,116 square feet. The option will end on October 31, 2018. The monthly option expense is $3,087. On June 27, 2017, the Company entered into a lease agreement for its Ontario Project, at Stratford location. The Company leased 1 acre of land from an unrelated party. The lease term is for three years and will start upon commissioning and acceptance of the project. The annual rental expense is $30,100. The lease has term to renew 2 additional terms of 5 years each with 6 months notices. On August 23, 2017, the Company entered into a lease option for