Preheat oven to 350 degrees F. Lightly grease twelve muffin cups with nonstick cooking spray; set aside. In a medium bowl, stir together flour, cocoa powder, baking powder, salt and baking soda; set aside.
In a large bowl, beat shortening with an electric mixer on medium to high speed for 30 seconds. Add ½ cup sugar and vanilla. Beat until combined, scraping side of bowl occasionally. Add egg yolks, one at a time, beating well after each addition. Alternately add flour mixture and water to shortening mixture, beating on low speed after each addition just until combined.
Thoroughly wash beaters. In a small bowl, beat egg whites on medium speed until soft peaks form (tips curl). Gradually add 1/3 cup sugar, 1 tablespoon at a time, beating on high speed until stiff peaks form (tips stand straight). Fold beaten egg whites into chocolate batter in small batches. Gently fold in chocolate chips. Divide among prepared muffin cups.
Bake in preheated oven for 20 to 22 minutes, or until a toothpick inserted into the center comes out clean. Let cupcakes cool in pan and then remove.
Cut cupcakes in half horizontally. Spread about 1 tablespoon frosting onto the bottom of each cupcake. Replace cupcake tops, pressing gently to spread frosting to edges.
Place crushed candies on a sheet of waxed paper. Roll sides of cupcakes in candies to coat the exposed frosting. Pipe or spread the remaining frosting onto tops of cupcakes. If desired, sprinkle with additional crushed candies.