# Cost

# Do you offer a warranty?

Our systems come with a standard warranty of one year. With an activated Enapter remote monitoring and control system, we extend the warranty to two years. Enapter is happy to set up customized service agreements with customers/partners requiring longer warranties.

# Which fuel cell, storage tank and compressor should I use?

The fuel cell manufacturer should be rack mountable modules. Some 2.5 and 5 kW can be found with a good performance and can be integrated in the Enapter EMS. Just take into account that some does not have separate purge; the generated water and impurities are removed from the anode by exhausting a small amount of hydrogen to the coolant air stream. This might require more ventilation for the hydrogen system.

For stationary storage, steel vessels are a good option as they are cheaper than the light-weight composite cylinders for transportation and are a good solution for low pressure storage (60 bar and less).

As for the compressors, there are options. Membrane compressors ensure no oil carry-over into the hydrogen and supposedly have longer lifetime as well as less maintenance and repair. This comes at cost: upfront-costs are much higher than those of piston compressors. For piston-compressors, many companies from Italy and USA have the cheapest offers. When looking for a silent compressor, the electro-chemical compressor might be an option).

Please bear in mind, that although we know about some prices of compressors, we currently do not have any experience with either compressor of the companies mentioned. For example, we do neither know about the reliability and uptime of the compressor nor about the operating and maintenance costs.

# Do you sell any spare parts?

Due to its modular nature, the easiest way to fix a unit is to simply drop in a replacement module and send a broken system back to our factory for repair. As a system integration partner, we would encourage you to keep a stock of spare modules on hand in order to be able to quickly and efficiently service your customer sites and avoid extended downtimes for the shipment of modules back and forth. During the warranty period (2 years with our remote monitoring system enabled), all repairs covered under the warranty are free of charge.

# What are the maintenance requirements and cost for the dryer?

The dryer is maintenance free – while one cartridge is drying the stream of hydrogen, the other is regenerated. There are no consumables to be exchanged or any user intervention needed during normal operation. We expect that the dryer can operate for many years, before the dryer media may degrade.

# What is the cost comparison between hydrogen and battery storage?

Before diving into more details, we would like to stress that no technology will offer the perfect solution to every energy storage question, but rather that the optimal solution for our energy future will be a mix of technologies, where each can play to their strengths.

Batteries are good at providing short term backup power; however, they suffer from a relatively low energy capacity. To double the energy capacity and thereby the backup time available from a battery, one needs to normally double the battery and double the investments. Hydrogen storage systems are more flexible in the design, as Electrolyzers (hydrogen generation), storage tanks (energy capacity), and fuel cells (electricity generation) are technically independent devices and can be freely sized according to the requirements. It is clear that the Electrolyzers and fuel cells, which are quite complex machines with many hi-tech components, are comparatively more expensive than some simple storage tanks. Therefore, hydrogen is particularly attractive in applications where a high energy storage capacity or a long backup power capability is desired, and where the power requirement is relatively low.

# How much does it cost to produce hydrogen with Enapter’s AEM Electrolyzers? What is the price of a kg of hydrogen?

The cost of green hydrogen is a function of the volume of power needed, the cost of power supplied, the cost of the Electrolyzer and its system, and the operative system to run the system. We are suggesting to use these factors in a simple formula to transparently compare pricing.

With the current generation Electrolyzer EL2.1, the CAPEX1 cost to produce hydrogen is estimated at 6.67 Euro/kg. We are on a mission to bring the cost of hydrogen generation via AEM electrolysis to below 1.5 Euro/kg by 2025.

Find the full calculation including all numbers and details about how to calculate the price for green hydrogen with the AEM Electrolyzer here.

# Why is AEM the lowest cost Electrolyzer technology? What is the cost advantage of an AEM system over a PEM system? What is the cost advantage of an AEM system over a traditional alkaline system?

AEM is the most promising technology for bringing down the cost of electrolysis, because it has both:

- Low stack material cost - Low BOP (Balance of Plant) complexity and cost

Compared to PEM, we can build AEM stacks with much lower cost materials. Compared to traditional alkaline, the AEM has a much simpler balance of plant, because we produce high purity, compressed hydrogen directly from the stack, and we operate at a differential pressure allowing the use of a simple water circulation system.

# What are the maintenance and operational costs for an Enapter Electrolyzer, Dryer, water tank and water purification module?

The Electrolyzer requires a yearly change of electrolyte, which can be performed by the customer following the maintenance instructions. This process takes about 20 minutes. The dryer is maintenance free. The water tank is maintenance free if in use. If water is stagnant in the tank for a long period of time, it could be that the water tank must be washed before continued usage. The water purification system is a standard commercial unit with RO+resin filter. The maintenance intervals (cartridge replacement) are typically around 4-6 months with daily use of the electrolyzer, but this will vary depending on the size of the filter chosen and the input water quality.

# What are the maintenance costs for a hydrogen storage system?

- Electrolyzers need regular maintenance.

- Regular inspections of piping, tanks, etc

- Fuel cells normally have regular maintenance programs where they run some tests (without user intervention)

Normally the system integrators who design the complete solution will determine the required maintenance and it could differ depending on location, application, etc.

# What is the cost for stack replacement?

In case that an Enapter Electrolyzer is still covered by the warranty, replacements are free. For electrolyzers outside of the warranty, Enapter is happy to accept the units back in our factory for a diagnosis and refurbishment. The cost of a complete refurbishment of an EL2.1 has not been set yet, but we estimate that it would be roughly 50% of the cost of a new machine.

# Is there financing available to buy the Enapter Electrolyzer?

At the moment, Enapter does not provide any financing options to customers. Any orders for Electrolyzers require a prepayment at order confirmation and are typically fully paid at the time of shipment from our factory.

# Is shipment included if customers want to return the product within warranty?

From the warranty conditions: Enapter will provide standard ground shipping. If expedited shipping is requested, the shipping costs will be billed to the customer. Enapter does not provide new replacement equipment to distributors or installers who exchange new equipment from their stock to customers in the field at their own discretion.

# What is the cost for Enapter to send technicians on site?

The daily rate for engineers to go on the customer site for installation and training support depends on the location and the nature of the work to be undertaken.

# Is there any consultation or service fee after warranty is expired?

Enapter provides remote diagnosis and consultation for free even after the warranty is already expired, as long as the Enapter remote monitoring and control system is active and able to collect monitoring data. After the warranty expires, there will be a monthly/quarterly/yearly cost to keep active the remote monitoring system.

# How does the use rate affect the cost-effectiveness of the Electrolyzer?

We believe that all hydrogen production must be green, therefore Enapter Electrolyzers are intended to be run from renewable electricity, which by nature is decentralized and intermittent. If you had electricity available at the right cost for 24 hours, of course that would result in a faster return of invest of your Electrolyzer. However, that is a rare occurrence and so our machines are designed to be able to start, stop, and adjust production rate as needed.

1: Capital expenditures