Ola Electric Mobility Ltd Receives ₹366.78 Crore Incentive Under PLI‑Auto Scheme
Ola Electric Mobility Limited (CIN L74999KA2017PLC099619) has been granted a sanction order from the Ministry of Heavy Industries for the release of incentives amounting to ₹366.78 crore. The award is under the Production‑Linked Incentive Scheme for Automobile and Auto Components (PLI‑Auto Scheme) for claims related to the fiscal year 2024‑25.
The sanction, announced on 26 December 2025, follows the company’s application for PLI‑Auto incentives that cover the production of electric vehicles and associated components. The scheme is designed to boost domestic manufacturing and to strengthen the Indian electric‑vehicle supply chain. The incentive covers a range of activities, including the manufacturing of electric scooters, battery packs, motors, vehicle frames and cell production, all of which fall within Ola Electric’s core operations.
Impact on the Company’s Financial Position
Ola Electric’s market capitalization, reported at 147,821,772,800 INR, reflects the company’s status as a significant player in India’s consumer‑discretionary sector. The recent incentive is expected to improve the firm’s production capacity and reduce the cost of goods sold for its electric‑vehicle line. The infusion of capital through the incentive is anticipated to support the company’s expansion plans across the Automotive and Cell segments.
Market Reaction
The stock closed at ₹35.35 on 23 December 2025, falling within a 52‑week range of ₹30.76 to ₹94.25. Following the announcement of the PLI‑Auto incentive, the company was highlighted among a group of 15 stocks—including IndusInd Bank, Lenskart, Vodafone Idea, IndiGo and Gujarat Gas—identified by The Hindu Business Line as remaining in focus for the trading session on 26 December 2025. The inclusion of Ola Electric in these watchlists suggests that market participants viewed the incentive as a positive development for the firm’s growth trajectory.
Broader Context
The PLI‑Auto Scheme represents a broader governmental effort to promote electric‑mobility manufacturing in India. Ola Electric’s receipt of the incentive aligns with this policy direction and positions the company to benefit from future government support for EV production. The company’s prior communication with the National Stock Exchange, as seen in multiple press releases dated 25 December 2025, confirms its compliance with regulatory reporting requirements.
In summary, the ₹366.78 crore incentive awarded to Ola Electric Mobility Limited under the PLI‑Auto Scheme is a significant financial boost that is expected to enhance the company’s production capabilities and reinforce its competitive position in the Indian electric‑vehicle market.
