E Scooter S1 X Gets Domestic Value Addition Certification for PLI Scheme

To participate in the Production Linked Incentive (PLI) programme for vehicles and auto parts, Ola Electric's S1 X escooter models (3 kWh and 4 kWh) have earned the domestic value addition certification (DVA).

According to a media report, the business has announced that their escooters have achieved the 50% localisation requirement set by the Ministry of Heavy Industries.

The electric scooter manufacturer that went public earlier this month has already gotten DVA certification for its S1 air model in January and its S1 pro model in March.

Ola S1 Pro supposedly makes the most money for the company. Certification is granted by the Automative Research Association of India (ARAI).

Incentives under the PLI Scheme can be claimed by Ola for a maximum of five consecutive years beginning in the fiscal year 2024. The percentage of product sales that goes towards incentives will range from thirteen percent to eighteen percent.

How This Development Will Help in Further Expansion?

According to a representative for Ola, who was quoted in a media report, the scooters S1 X 3 kWh and S1 X 4 kWh collectively contribute to approximately half of the total revenue that Ola generates. According to him, the company will be able to further improve its bottom line now that the PLI has been implemented by the corporation.

In addition, the spokesperson stated that the fact that Ola has received PLI certification for both its luxury and mass-market goods is evidence of the company's vertically integrated manufacturing strength. This success is a key step forward in the development of India's electric vehicle vision.

Over the last week, Ola presented its electric motorcycle portfolio, which is referred to as "The Roadster series."

Rebranding of Ola Cab

The rebranding of Ola Cabs to Ola Consumer was revealed by Bhavish Aggarwal, the CEO of Ola, during the annual event known as "Sankalp," which is held by the Ola group.

Rebranding will allow the company to provide a wide variety of consumer services, including eCommerce, financial services, ride-sharing services, and other similar offerings, according to the company's statement.

During the fiscal year 24 (FY24), Ola Electric reported a net loss of INR 1,584.4 Cr, despite having an operational income of INR 5,009.8 Cr.

As of the June quarter of the fiscal year 25 (FY25), Ola Electric's consolidated net loss increased to INR 347 crore, up from INR 267 crore. In the same quarter, the company's operating revenue reached INR 1,644 crore, representing a year-on-year rise of 32%.

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