Ola Electric logo. File.
| Photo Credit: Reuters
Ola Electric, India’s largest electric vehicle company, has achieved a significant milestone by becoming the first two-wheeler automotive electric vehicle (EV) manufacturer in India to receive incentives under the Production Linked Incentive (PLI) Scheme for Automotive and Auto Component (PLI-Auto Scheme).
The company has been granted a total incentive of ₹73.74 crore for the Determined Sales Value of FY 2023-24 under the scheme, according to a stock exchange filing by the company.
The PLI-Auto Scheme, launched by the Government of India, aims to boost domestic manufacturing in the automotive sector and promote the adoption of advanced, clean, and sustainable mobility solutions.
Ola Electric’s eligibility for the incentive underscores its leadership in India’s EV revolution and its commitment to developing a robust local manufacturing ecosystem.
“We wish to inform you that, Ola Electric Technologies Private Limited, a wholly-owned subsidiary of Ola Electric Mobility Limited, has received a sanction order dated March 5, 2025, from the Government of India, Ministry of Heavy Industries,” the firm said in the filing.
It went on to state that “₹73.74 crore has been sanctioned towards the incentive for the Determined Sales Value of FY2023-24.” The incentive is based on sales for the financial year 2023-2024.
Launched in September 2021, the PLI-Auto Scheme aims to boost domestic manufacturing in the automotive sector and promote the adoption of advanced, clean, and sustainable mobility solutions. With a budget outlay of ₹25,938 crore over five years, the scheme is targeted towards reducing dependency on imports and positioning the country as a key player in the global EV supply chain.
Ola Electric has been at the forefront of India’s EV transformation, with its flagship Ola S1 range of electric scooters gaining widespread adoption across the country. The company has also made significant investments in R&D, battery innovation, and large-scale manufacturing, including the Ola Futurefactory, one of the world’s largest two-wheeler EV production facilities.
The company is currently the market leader in the electric two-wheeler segment with a 28% share.
The PLI-Auto Scheme is a crucial step in India’s efforts to enhance domestic manufacturing capabilities, reduce import dependence, and position itself as a key player in the global EV supply chain.
Ola Electric’s success under this scheme sets a precedent for other manufacturers looking to leverage government initiatives to drive innovation and sustainable growth in the EV sector.
As India continues to push for greater EV adoption and infrastructure development, Ola Electric’s milestone under the PLI-Auto Scheme reinforces its pivotal role in shaping the future of mobility in the country.
Published – March 06, 2025 01:50 pm IST
