Ola Electric has officially filed a claim for approximately ₹400 crore under the Government of India’s Production-Linked Incentive (PLI) scheme, supported by eligible sales of around ₹3,000 crore for the fiscal year 2025. This incentive is expected to significantly strengthen the company’s liquidity and positively impact its financial performance in the coming quarters.
Ola Electric was the only two-wheeler Original Equipment Manufacturer (OEM) to receive the PLI incentive last year and has emerged as the top achiever in PLI-eligible sales in the two-wheeler segment for two consecutive years, underscoring its leadership in India’s electric mobility transformation.
The incentive is calculated at a rate of 13–14%, reflecting Ola Electric’s continued contribution to the government’s push for EV adoption. Additionally, the company has received PLI compliance certification for its Gen 3 scooter portfolio, which includes all models in the S1 lineup. This certification makes Ola Electric eligible for incentives ranging from 13% to 18% of the determined sales value of these scooters until 2028.
Following the announcement, Ola Electric’s shares recorded a nearly 10% surge, reflecting investor confidence in the company’s growth and profitability prospects. The approval is expected to boost margins and strengthen financial performance, even as Ola faces challenges from market competition and potential GST reforms affecting internal combustion engine vehicles.
With the PLI claim and certification in place, Ola Electric is poised to consolidate its leadership in India’s electric two-wheeler market, support financial stability, and continue its mission to accelerate the country’s transition to sustainable mobility.
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