IANS | 04 Mar, 2024
Ola Electric's S1 Pro electric scooter has received the domestic
value addition (DVA) certification under the production-linked incentive
(PLI) scheme for the automobile and auto component industry, the Centre
said on Monday.
The S1 Pro scooter met the stringent minimum
localisation criteria of 50 per cent, as mandated by the Ministry of
Heavy Industries.
The International Centre for Automotive
Technology (ICAT), Manesar, one of the divisions of the National
Automotive Board (NAB) under Ministry of Heavy Industries, awarded its
first PLI–automotive certificate to Ola Electric.
Under the
leadership of Prime Minister Narendra Modi, the government introduced
the National Electric Mobility Mission Plan (NEMMP) 2020 to realise the
goal of ‘Green Mobility’. This plan sets out the goals and time frame
for the nation to manufacture and adopt electric vehicles (EVs).
With
this, Ola Electric has become the only 2W and pure-play EV manufacturer
to receive the DVA certification (PLI certificate) for one or more
products.
The company had earlier received the DVA certificate for S1 Air at the Auto PLI Conclave organised in January.
"The
government's ambitious auto PLI Scheme is poised to enhance local
supply chains, foster domestic manufacturing, and assist companies in
achieving economies of scale," said an Ola Electric spokesperson.
The
ICAT is one of the nodal testing agencies to grant the certification
after thorough checks on the localisation standards of the components.
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 per cent of the “determined sales value”
(DSV) of the products.
Ola Electric was also awarded 20GWh
capacity by the government under its PLI scheme for Advanced Chemistry
Cell (ACC) battery storage in March 2022. ICAT is also in process of
evaluation and assessment of PLI-auto applications of other applicants.
