Ola Electric, a producer of Electric Two-Wheelers, would reimburse consumers for almost Rs 130 crores. Citing anonymous sources, CNBC-TV18 has reported that the corporation has notified the government they will repay the cost of the off-board charger in response to the investigation launched by the Ministry of Heavy Industries into price gouging.
According to a government official, "the Automotive Research Association of India (ARAI) will not be taking any further action against Ola Electric, as the company announced in its letter to ARAI dated April 30, 2023, that, of their own accord, they will reimburse the price (approximately Rs. 130 crores) of the off-board charger to all customers who have bought the off-board charger as an accessory when purchasing an Ola S1Pro model scooter from FY 2019–20 until March 30, 2023.
Ola Electric's founder and CEO, Bhavish Agarwal, recently informed that the business will comply with any requests made by the government about the investigation and suspension of subsidies. When questioned about the most recent events, the business stated that Ola Electric continues to communicate with the government to find solutions to all problems.
The Ministry of Heavy Industries has been investigating Hero MotoCorp, TVS Motor Company, Ather Energy, and Ola Electric as a result of accusations from whistleblowers. The allegations state that all four businesses were charging clients for using the subsidies after they had reached the FAME scheme's Rs 1.5 lakh barrier under the national government. The firms had originally stated that the extra cost was due to the off-board charger and other software capabilities. To be eligible for the programme, Ather Energy and Ola Electric both cut the price of their electric scooters.
The price of Ola Electric's electric scooter has just decreased from Rs. 1.39 lakh to Rs. 1.24 lakh, inclusive of the cost of the charger and software features. When all customers have received the money they are owed, Ola Electric is also likely to submit an appropriately certified statement to ARAI.