Ola Electric on May 4 confirmed on its Twitter profile that it will reimburse the charger costs to all eligible customers who purchased the off-board charger as an accessory. This decision was made to comply with India's EV subsidy policy, which the company had previously violated.
CNBCTV18 Newsbreak had previously reported that Ola Electric, along with other EV manufacturers such as Ather, Hero MotoCorp, and TVS, had violated the Faster Adoption and Manufacturing of (Hybrid and) Electric Vehicles (FAME) subsidy policy.
While the issue affected only the top-end variant, Ola Electric has promised to reimburse eligible customers to comply with FAME subsidy norms.
"As a leader of the industry, we remain committed to putting our customers first. Therefore, setting aside the technicalities and as an example for others to follow, we have decided to reimburse the charger monies to all eligible customers," Ola Electric said in a statement published on Twitter.
In its statement, Ola Electric expressed its commitment to putting its customers first and strengthening trust in the EV industry.
The company acknowledged the government's progressive policies towards the EV industry, including FAME, PLI-AAT and PLI-ACC, and thanked them for their unwavering support and partnership.
The company was charging customers separately for the portable charger and exceeding the price cap. As a result, the government withheld subsidies for these companies.
According to the earlier alert, Ola Electric will reimburse a total of Rs 130 crores to one lakh customers who purchased the Ola S1Pro model up to March 30, 2023.
Additionally, Ather, Hero and TVS have informed the Automotive Research Association of India (ARAI) that they will reimburse 100 percent of the portable charger cost to customers.
ALSO READ | Top electric two-wheeler makers to reimburse Rs 288 crore to customers for misusing FAME subsidies: Sources
The Ministry of Heavy Industries had withheld subsidies for Ola, TVS, Ather and Hero MotoCorp for selling EVs about the 1.5 lakh threshold under FAME and for charging customers separately for the portable charger.
First Published: May 4, 2023 11:37 AM IST
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