Ola Electric back in game? Shares inflate 5% after NITI Aayog’s EV adoption policy

Ola Electric Mobility’s shares rose 5% on Monday, to reach Rs 49.40, following reports of NITI Aayog holding an EV transition meeting with leaders from the two-wheeler manufacturing industry.

The meeting will observe the presence of executives from Bajaj Auto, Ola Electric, Hero MotoCorp, Revolt and Ather Energy, as per a report by Hindu Businessline. The meeting will discuss the measures to promote the adoption of electric two-wheeler, which account for two-thirds of two-wheeler sales in India.

Meanwhile, electric scooters may make up as much as 80% of sales by 2030, while motorcycles may only make up 10%, bringing the whole two-wheeler electrification rate down to about 36%—far below the policy goals, according to government predictions. 

To make EV bikes more pocket-friendly and competitive, Policymakers may employ strategies to ramp up production, ease battery-swapping models, and reduce upfront costs. 

Earlier, Bhavish Aggarwal, founder of Ola Electric, announced his goal of capturing 25–30% of the domestic two-wheeler EV market with new launches and vertical integration. Last week, Aggarwal stated that "our mojo is still there" and that as volumes increase, profitability would continue to be strong.

As per moneycontrol, a potential GST drop on entry-level two-wheelers, compact automobiles, and hybrids has also supported investor mood in recent days.