EV charging stocks ChargePoint (CHPT), Blink Charging (BLNK) and EVgo (EVGO) jumped Wednesday on reports that funds to support an expansion of electric-car charging stations are in the bipartisan Senate infrastructure deal.
On Wednesday, Senate negotiators said they have reached a deal on an infrastructure package. A procedural vote on the measure is set to take place after the close.
The legislation would provide $550 billion in new spending, including $15 billion to boost EV charging stations as well as electric buses and other transit, CNBC reported, citing a White House fact sheet. That’s in line with prior reports for EV infrastructure.
The news comes after Tesla (TSLA) promised to open up its Supercharger network to other owners of electric vehicles.
Earlier, President Biden’s overall $174 billion EV spending plan was said to include $100 billion in new consumer rebates for electric vehicles. But the bipartisan bill does not contain new money for electric vehicle rebates, Reuters said.
EV Charging Stocks
Shares of ChargePoint jumped 7.1% in Wednesday’s stock market trading. Blink Charging surged 7.5%, EVgo popped 8.3% and Tortoise Acquisition Corp. II (SNPR), which is taking Volta public, edged up 0.1%. But EV charging stocks remain as much as 51% off highs. Tesla added 0.3%.
Wedbush analyst Dan Ives had called charging infrastructure a linchpin of Biden’s EV initiatives.
The president was said to push for a national network of 500,000 EV chargers by 2030, through grants and incentives to sates and cities. That’s five times the size of the national network now.
But $15 billion to build 500,000 new EV charging stations may fall short of what’s needed. AlixPartners estimates $300 billion will be needed to build out a global charging network to accommodate the expected growth of EVs by 2030, including $50 billion in the U.S. alone, according to an earlier CNBC report.
Find Aparna Narayanan on Twitter at @IBD_Aparna.
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