Ola Electric has become the first two-wheeler electric vehicle (EV) manufacturer to receive incentives under India’s Production Linked Incentive (PLI) Scheme for the automotive sector. The company secured a sanction order from the Ministry of Heavy Industries for ₹73.74 crore, based on its sales for the financial year 2023-2024.
Launched in September 2021, the PLI-Auto Scheme aims to boost domestic manufacturing in the automotive sector and promote advanced, clean mobility solutions. With a budget outlay of ₹25,938 crore over five years, the scheme seeks to reduce import dependency and position India as a key player in the global EV supply chain.
Ola Electric’s eligibility for this incentive underscores its leadership in India’s EV revolution and its commitment to developing a robust local manufacturing ecosystem. The company has invested heavily in research and development, battery innovation, and large-scale manufacturing, including the Ola Futurefactory, one of the world’s largest two-wheeler EV production facilities.
As of February 2025, Ola Electric commands a 28% share in the electric two-wheeler segment, with its flagship Ola S1 range of electric scooters gaining widespread adoption across the country. The company’s products comply with the strict minimum localisation criteria of 50% as required by the Ministry of Heavy Industries, further cementing its position as a leading player in India’s electric vehicle industry.
This achievement not only highlights Ola Electric’s dedication to advancing sustainable mobility but also reflects the effectiveness of government initiatives like the PLI-Auto Scheme in promoting domestic manufacturing and innovation in the EV sector.
