New Delhi’s International Centre for Automotive Technology (ICAT), a division of the National Automotive Board (NAB) under the Ministry of Heavy Industries, has marked a milestone in India’s electric vehicle (EV) journey by awarding Ola Electric Technologies the first Production Linked Incentive (PLI) Scheme Certificate for its S1 Pro scooter. This achievement underscores India’s commitment to fostering green mobility and local manufacturing of advanced automotive technology (AAT) products, aligning with the National Electric Mobility Mission Plan (NEMMP) 2020 and the vision of Aatma Nirbhar Bharat.
Revolutionizing Green Mobility
The PLI scheme, introduced by the Ministry for Heavy Industries in 2021 with a budget of Rs 25,938 crore, is designed to catalyze the production of AAT products and attract significant investments in the automotive manufacturing value chain. Ola Electric’s S1 Pro scooter, meeting the Domestic Value Addition (DVA) criteria of at least 50%, exemplifies the scheme’s objectives by demonstrating the company’s dedication to indigenization and the ‘Make in Bharat’ initiative. This certification not only highlights Ola Electric’s pioneering role in the EV space but also sets a precedent for other manufacturers to follow, promising a robust future for electric mobility in India.
Path to Certification
The journey to this groundbreaking achievement began with the meticulous evaluation and assessment of Ola Electric’s S1 Pro scooter by ICAT, Manesar. Meeting the stringent DVA criteria required thorough dedication to local sourcing and manufacturing, a testament to Ola Electric’s commitment to contributing to India’s self-reliance in technology and production. The PLI certificate, handed over by Hanif Qureshi, Additional Secretary – MHI, to SJ Dhinagar, Head of Engineering and Sr. VP- Ola Electric, symbolizes a significant step towards reducing India’s dependency on imported EV technologies and fostering a sustainable and self-sufficient automotive sector.
Implications for India’s EV Ecosystem
This certification opens up new avenues for Ola Electric, making it eligible for incentives ranging between 13%-18% of the determined sales value (DSV) of the S1 Pro scooter for up to five consecutive financial years, starting from fiscal 2024. This incentive structure is poised to encourage more manufacturers to invest in the indigenous production of EVs, thereby accelerating India’s transition to green mobility. Moreover, the PLI scheme’s focus on AAT products promises to position India as a global hub for EV manufacturing, enhancing its competitiveness in the international market and contributing to the overall growth of its economy.
The awarding of the first PLI Automotive Certificate to Ola Electric’s S1 Pro scooter by ICAT, Manesar, represents a landmark achievement in India’s automotive industry, particularly in the EV segment. It not only reaffirms the nation’s commitment to achieving its green mobility goals but also sets a solid foundation for the future of electric vehicles in India. As more companies join this initiative, the dream of a self-reliant India, thriving on sustainable and advanced automotive technologies, inches closer to reality, promising a greener, cleaner, and technologically advanced future for the country.