Bengaluru-based electric two-wheeler maker, Ola Electric has received the certification of compliance with the eligibility assessment requirements under the Production Linked Incentive (PLI) Scheme for automobiles and auto components (PLI-Auto).
The certification is for its S1 X 3 kWh and S1 X 4 kWh scooters, which meet the minimal localisation criteria of 50 percent, as mandated by the Ministry of Heavy Industries (MHI).
Taking to X, Ola Co-Founder and CEO Bhavish Aggarwal shared the news and wrote, “Excited to share that the S1X 3 and 4 kWh scooters@OlaElectrichave received the Domestic Value Addition (DVA) certification under Production Linked Incentive (PLI) Scheme. These two products make almost 50% of our orders. More wind in our sails as we build India’s EV future!”
Excited to share that the S1X 3 and 4 kWh scooters @OlaElectric have received the Domestic Value Addition (DVA) certification under Production Linked Incentive (PLI) Scheme. These two products make almost 50% of our orders. More wind in our sails as we build India’s EV future!— Bhavish Aggarwal (@bhash) August 20, 2024
With this certification, the S1 X 3 and 4 kWh models join Ola’s S1 Air and S1 Pro scooters, which were DVA-certified earlier this year.
“S1 X 3 kWh and S1 X 4 kWh together contribute to about half of our revenues and with the PLI now in place, we will be able to further boost our bottom line,” HT Auto quoted an Ola Electric spokesperson as saying. The person added,
“Receiving the PLI Certification for both premium and mass-market goods highlights the company’s vertically integrated manufacturing strength, marking its significant achievement in advancing India’s EV vision.”
He further noted, “The government’s ambitious Auto PLI Scheme has been set up to boost local supply chains, foster domestic production, and help enterprises achieve economies of scale.”
The certification was given by the Automotive Research Association of India (ARAI) following product testing and component localisation verification. As per the scheme, Ola Electric will be able to receive incentives for five consecutive fiscal years beginning in Fiscal 2024, with incentives ranging from 13 percent to 18 percent of the items’ “determined sales value (DSV)”.
Recently, during the company’s Sankalp 2024 event last week, Bhavish Aggarwal launched a new Ola Electric bike — the Roadster series. It includes three variants namely Roadster, Roadster X and Roadster Pro.
These e-bikes have been priced between Rs 74,999 and Rs 2,49,999. The Roadster and RoadsterX will be available in the market in January 2025, while the Pro model will be launched in Diwali next year.
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