Ola Electric faces subsidy loss due to registration delays

Ola Electric may face significant financial losses if it cannot register over 16,000 e-scooters sold in February before the end of the financial year. The company relies on government subsidies for these vehicles, which can only be claimed once the registrations are complete. The firm announced delays in registration due to ongoing contract negotiations with service providers. As a result, only 8,651 e-scooters have been registered so far, far below the 25,000 units reported sold. This delay could reduce the subsidy amount from ₹10,000 to ₹5,000 per vehicle sold. The deadlines are crucial. If registrations are not completed by the end of March, Ola Electric risks losing out on up to ₹5,000 per vehicle from the government. The PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) scheme, launched last year, aims to support electric vehicle sales with subsidies, but the benefits will be halved in the next financial year. Ola Electric has been trying to speed up the registration process, but many customers are facing longer waiting times for deliveries. Previously, customers had to wait just 5-7 days, but now the wait has stretched to 20-45 days. Additionally, one registration agency has taken legal action against Ola Electric over unpaid dues. The company did not respond to requests for comments about the situation. The ongoing renegotiations and operational issues indicate that Ola Electric's challenges with vehicle registrations are far from resolved.