Ola Electric’s S1 X escooter model (both 3 kWh and 4kWh) has obtained domestic value addition certification (DVA) needed for availing Production Linked Incentive (PLI) scheme for automobile and auto components.
This development comes after Bhavish Aggarwal announced the rebranding of Ola Cabs to Ola Consumer.
Ola Electric’s S1 X escooter model (both 3 kWh and 4kWh) has obtained domestic value addition certification (DVA) needed for availing Production Linked Incentive (PLI) scheme for automobile and auto components.
As per Inc42, the company said the escooters has met the minimum localisation criteria of 50% as put forth by the Ministry of Heavy Industries.
The EV major which has gone public this month has already received DVA certification for its escooters S1 air and S1 pro in January and March respectively.
Reportedly, Ola S1 Pro accounts for the largest portion of its revenue. The certification is given by the Automative Research Association of India (ARAI).
Ola is now eligible for the incentives under the PLI Scheme for up to five consecutive years from the fiscal year 2024. The incentives provided will be between 13% and 18% of the sales revenue generated from the product.
Ola Electric’s CEO Bhavish Aggarwal took to X to make the announcement.
An Ola spokesperson as reported by Inc42 said that escooters S1 X 3 kWh and S1 X 4 kWh together contribute to almost half of the revenues to Ola. With the PLI now in place, the company will be able to further improve its bottom line, he said.
The spokesperson further said that receiving PLI certification for the premium and mass-market products affirms Ola’s vertically integrated manufacturing strength, marking a significant achievement in advancing India’s EV vision.
Ola unveiled its electric motorcycle portfolio, ‘The Roadster series’ last week.
In the Ola group’s annual event, ‘Sankalp’, Ola’s CEO Bhavish Aggarwal announced the rebranding of Ola Cabs to Ola Consumer.
The company stated that with the rebranding, it will offer a wide range of consumer services such as ecommerce, banking services, ride-sharing services etc.
Ola Electric’s net loss stood at INR 1,584.4 Cr on an operating revenue of INR 5,009.8 Cr for FY24.
Ola Electric’s consolidated net loss widened to Rs 347 crore in the June quarter of FY25 from Rs 267 crore. Its operating revenue increased 32% year-on-year to Rs 1,644 crore in the same quarter.
Ola Electric’s net loss stood at INR 1,584.4 Cr on an operating revenue of INR 5,009.8 Cr for FY24.