- The U.S. Department of Energy has offered American CPO, EVgo, a conditional loan of up to $1.05 billion, through the ‘Clean Energy Financing’ program of the department’s Loan Programs Office.
- If the deal is finalised, EVgo will use the funding to create 7,500 new fast charging stalls across the U.S.
- Over 40% of these prospective stalls will be placed in disadvantaged communities, as part of the government-wide Justice40 initiative – which is aiming for 40% of the benefits from clean energy projects to flow to disadvantaged areas.
A potential boost to EVgo’s charging footprint
In response to the announcement, EVgo stock value has risen over 50%, in just the last five days. Under the loan agreement, states set to see many of these 7,000-plus charging points include Arizona, California, Florida, Georgia, Illinois, Michigan, New Jersey, New York, Pennsylvania and Texas. These would consist of chargers in more urban locations, helping complement the interstate-based chargers created under the NEVI program. Construction of these charge points would begin from 2026, with all 7,500 additional chargers going live by 2030. EVgo estimates that such a project would help create over 1,000 jobs.
If approved, this deal would be the first piece of funding from the Loan Programs Office to go towards help further expand EVgo’s reach in the U.S. The CPO already operates over 1,000 fast charging stations in the U.S., across 35 states, but an ongoing partnership with General Motors is set to deliver another 400 flagship stations to the country, across the next few years.
Badar Khan, CEO at EVgo, commented on the achievement:
“EVgo shares the Biden-Harris administration’s goal of increasing EV charging access in the communities that need it most. This historic investment would meaningfully accelerate our network expansion to provide public charging to EV drivers across the United States.”
