A storm of criticism and scrutiny surrounds the company that once shone like a star on the Indian EV horizon: Ola Electric. From Bhavish Aggarwal's offices, complaints about slacking customer service, late deliveries, and some fairly deceptive ads would have likely bombarded him.
The troubles for Ola Electric started on October 3, 2024, when the Central Consumer Protection Authority issued a notice to show cause to the company. This comes after a spate of around 10,000 complaints that rose between September 2023 and August 2024 with a major focus on delays in service and repairs, delayed deliveries, and broken promises.
These moves by CCPA sent shockwaves in the electric vehicle world and raised more questions on whether Ola Electric was ever focused on customer-centricity. But this was only the beginning of the company's problems.
It is also learning to notice the volume of grievances people have been sending Ola Electric's way as it tries to navigate the electric vehicle sector in India. On this count, the ministry sought feedback from the testing agency entrusted with the task of certifying electric vehicles eligible to enjoy the benefits of government support, ARAI on the situation.
ARAI has, therefore, been tasked with observing how Ola Electric adheres to the letter and spirit of the Faster Adoption and Manufacturing of (Hybrid &) Electric Vehicles in India, also known as FAME and PM E-Drive schemes. As a beneficiary of these, the company reaps heavy benefits from subsidies allocated towards the purchase of electric vehicles.
This is an intervention by the ministry and, therefore, a clear indication by the government that it takes the allegations against Ola Electric seriously. It further reflects the growing concerns over the quality and reliability of electric vehicles in India. Ola Electric said that it received the show-cause notice from CCPA and that it would respond within the 15 days stipulated. However, the company refused to share any specific details on what it is doing about the complaints of its customers.
Hence, the future of Ola Electric will be susceptible to unwinding in the testing by ARAI. There may be a huge penalty in the form of withdrawal of subsidies and a long list of other punishments if it is found violating the guidelines followed by government schemes.
The issues Ola Electric will therefore remind the readers of much work that needs to be done by such a business. Not enough for firms like Ola Electric to just take a step toward a greener future through electric vehicles when customer satisfaction must come first and the company maintains the best in its service quality.
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