Bengaluru, January 17, 2023: Ola Electric has become the first Indian 2W company to receive Domestic Value Addition (DVA) certificate under Production Linked Incentive (PLI) Scheme for automobile and auto component industry. The company successfully met the DVA criteria of 50% among others as mandated by the Ministry of Heavy Industries, Government of India, under the PLI Scheme for automobile and auto component industry.
Hon’ble Minister for Heavy Industries Dr. Mahendra Nath Pandey and Hon’ble Minister of State for Power and Heavy Industries Krishan Pal Gurjar felicitated Ola Electric during the Auto PLI Conclave organised by the Ministry in Pragati Maidan, New Delhi. The certification has been granted by The Automotive Research Association of India (ARAI) after testing of the product and checks on the localisation standards of the components.
Ola spokesperson, Ola Electric said, “The proactive approach of the government in implementing the PLI Scheme for Automobile and Auto Component Industry will certainly put India on a fast lane to becoming the manufacturing superpower of the world. The PLI certification is a testament to our vertically integrated manufacturing capabilities and a significant milestone in our quest to accelerate India’s journey towards clean mobility. The government’s auto PLI scheme will certainly go a long way in localising supply chains and boosting domestic manufacturing while also helping companies achieve economies of scale.”
Under the scheme, Ola Electric is eligible for incentives for up to five consecutive financial years, commencing from Fiscal 2024. The incentive would range between 13% and 18% of the “determined sales value” (DSV).
Ola Electric has also been awarded 20GWh capacity by the government under its PLI scheme for Advanced Chemistry Cell (ACC) Battery storage in March 2022. The company is eligible to receive incentives under the Cell PLI scheme over a five-year period from the date of commissioning of the
Ola Gigafactory in Krishnagiri, Tamil Nadu.
Disclaimer:
OLA ELECTRIC MOBILITY LIMITED is proposing, subject to applicable statutory and regulatory requirements, receipt of requisite approvals, market conditions and other considerations, to undertake an initial public offering of its equity shares and has filed a draft red herring prospectus dated December 22, 2023 (“DRHP”) with the Securities and Exchange Board of India (“SEBI”). The DRHP is available on the websites of SEBI at www.sebi.gov.in, stock exchanges i.e., BSE at www.bseindia.com and NSE at www.nseindia.com, respectively and is also available on the website of our Company at www.olaelectric.com and websites of the book running lead managers, i.e. Kotak Mahindra Capital Company Limited at https://investmentbank.kotak.
The equity shares have not been and will not be registered, listed or otherwise qualified in any other jurisdiction outside India and may not be offered or sold, and bids may not be made by persons in any such jurisdiction, except in compliance with the applicable laws of such jurisdiction. The equity shares have not been and will not be registered under the US Securities Act of 1933 (“U.S. Securities Act”) or any state securities laws in the United States and may not be offered or sold within the United States, except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the U.S. Securities Act and in accordance with any applicable United States state securities laws.
