By Sam Boughedda
Investing.com — Evgo Inc (NASDAQ:EVGO) said Tuesday that it has been selected by the State of California for various grants from the California Air Resources Board to install new high-powered direct current fast chargers.
The installation of the chargers will help the state meet its transport electrification goals. In addition, the push to boost EV charging infrastructure across the U.S. aims to accelerate EV adoption, which has resulted in a race between EV charging firms to become dominant players in the market.
It has also resulted in shares of these companies rallying on any announcement of new deals. Today's news saw EVgo shares climb to a high of $12.49 before retracing to around the $11.70 mark.
The five proposed awards are funded by the California Volkswagen Mitigation Environmental Trust and support, which provides around $423 million to mitigate excess emissions caused by the dieselgate scandal, which saw VW use illegal emissions testing defeat devices.
EVgo currently has over 330 sites and 820 fast-charging stations throughout California. The new sites will add five more fast-charging locations and 38 charging stalls, including one large site in Los Angeles.