On Thursday, the United States offered EVgo a conditional loan guarantee of up to $1.05 billion to help expand electric vehicle charging stations nationwide, including in underserved urban areas. If finalized, the loan from the Department of Energy will support EVgo in setting up around 7,500 public high-power charging points at nearly 1,100 stations, with each point able to charge two cars at once.
This funding aims to help EVgo, which has high costs, compete with Tesla’s charging network, said Jigar Shah, head of the Department of Energy’s loan office. “The goal is to help EVgo improve customer service, which will attract more users and help them pay back the loan faster,” Shah said. Currently, EVgo, which isn’t yet profitable, has over 3,500 fast chargers.
This is the first time the Department of Energy’s loan office has supported a company that builds EV chargers. The program has about $70 billion in loan authority left for clean energy projects.
More than 40% of the new 350-kilowatt EVgo chargers, which can charge any electric vehicle, will be built in underserved areas. EVgo expects both car-sharing services and individual drivers will use them. “These chargers are especially good for people who don’t have a private driveway,” EVgo CEO Badar Khan said. “Our main goal is to provide access to clean transportation for those who can’t charge at home.”
