IPO-bound Ola Electric gets certification for 2nd e-scooter under government`s PLI scheme
Follow us Now on Telegram ! Get daily 10 - 12 important updates on Business, Finance and Investment. Join our Telegram Channel
https://t.me/InvestmentGuruIndiacom
Download Telegram App before Joining the Channel
Bhavish Aggarwal-led Ola Electric has received certification for its S1 Pro (Gen-2) electric scooter under the government’s production-linked incentive (PLI) scheme for the automobile and auto component industry.
Sources told IANS on Saturday that the IPO-bound company had applied for the PLI certification for S1 Pro in October and received the certification this week.
The company’s Ola S1 Pro and Ola S1 Air are now eligible for subsidies under the government’s auto PLI scheme for five years from the date of certification, sources added.
When reached, the company did not immediately comment on the development.
Last month, the Ministry of Heavy Industries issued a notification to announce the extension of the tenure of the PLI scheme for automobile and auto components by one year.
Under the amended scheme, the incentive will be applicable for a total of five consecutive financial years, starting from the financial year 2023-24.
The amendment also includes changes to the table indicating the incentive outlay, with the total indicative incentive amounting to Rs 25,938 crore.
In December, Ola Electric became the first Indian e-scooter (e2W) company to get eligible for the government’s PLI scheme for its Ola S1 Air electric scooter.
The other applicants for the PLI scheme are Hero MotoCorp, TVS Motor Company, Bajaj Auto and others.
For e2W startups, fresh investment of Rs 1,000 crore is required to avail of the PLI scheme.
Ola Electric plans to expand its EV business and establish a lithium-ion cell manufacturing facility.
