Ola Electric Gets ₹73.7 Crore PLI-Auto Incentives

Established in 2017, Ola Electric Mobility Limited has emerged as a trailblazer in India’s electric vehicle sector, specialising in the production of electric vehicles (EVs) and core EV components. Cementing its dominance in the electric two-wheeler market, the company has attained an enviable 28% market share as of February 2025.

A Landmark Achievement: PLI-Auto Scheme

In a significant milestone, Ola Electric has been awarded a ₹73.7 crore incentive under the prestigious Production Linked Incentive (PLI) Scheme for Automotive and Auto Components (PLI-Auto Scheme). This recognition makes it the first Indian two-wheeler EV manufacturer to qualify for this financial boost.

Launched in September 2021, the PLI-Auto Scheme is a transformative government initiative designed to propel domestic automotive manufacturing. With a budget outlay of ₹25,938 crore over 5 years, the scheme seeks to reduce import dependency, fostering self-reliance in EV production, position India as a global leader in the electric vehicle supply chain, and accelerate the transition towards sustainable and clean mobility solutions.

This incentive, granted on the basis of Ola Electric’s stellar sales performance for FY 2023-24, reinforces the company’s commitment to building a robust indigenous EV ecosystem.

Ola Electric’s Strategic Investments in Innovation and Manufacturing

Ola Electric has channelled significant investments into research and development (R&D), battery technology, and large-scale manufacturing to solidify its technological edge. 

At the heart of this ambition lies the Ola Future factory—one of the world’s largest two-wheeler EV production facilities. This strategic investment underscores Ola Electric’s unwavering dedication to advancing cutting-edge indigenous technology and scaling up production capabilities.

As of September 2024, Ola Electric had secured PLI certification for 5 of its electric two-wheeler models, spanning both premium and mass-market segments. These models achieved the required 50% minimum localisation, as stipulated by the Ministry of Heavy Industries.

Additionally, Ola Electric was granted 20GWh battery production capacity under the ACC PLI scheme in March 2022, with incentives available over 5 years from the Krishnagiri Gigafactory’s commissioning.

Share Price Performance

At 3:00 PM on March 6, 2025, Ola Electric Mobility Ltd’s shares were trading 1.14% down at ₹56.29 on the National Stock Exchange (NSE).

Conclusion:

This milestone underscores Ola Electric’s commitment to strengthening India’s EV ecosystem and driving innovation in sustainable mobility.

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