Heavy Industries Ministry begins probe in Ola Electric service issues

The Ministry of Heavy Industries has begun a probe into the allegations of service related issues faced by Ola Electric users, government official have told Business Today TV.

The ministry has asked for inputs from the Automotive Research Association of India (ARAI) as well. 
Heavy Industries Minister HD Kumaraswamy has asked officials to look into the matter, the official added.

This inquiry follows a Show Cause Notice issued to the company on October 3, 2024, concerning allegations of consumer rights violations, misleading advertisements, and unfair trade practices by CCPA.

These allegations raise serious concerns about Ola Electric’s adherence to regulations under the Faster Adoption and Manufacturing of Electric Vehicles (FAME II) and the PM E-DRIVE scheme, the letter to  Automotive Research Association of India (ARAI) says.

The letter further adds that "Under these schemes, all Original Equipment Manufacturers (OEMs), including Ola Electric, are mandated to establish service centers to address customer issues effectively. Additionally, they are required to provide warranties, ensuring consumer protection and satisfaction."

Ola Electric, a beneficiary of the FAME I and PM E-DRIVE schemes, received its eligibility certification from ARAI. In light of the current situation, the Ministry has asked ARAI to provide comments on the allegations as soon as possible to facilitate further investigation.

The Heavy Industries Minister emphasized the importance of safeguarding consumer rights and ensuring compliance among all electric vehicle manufacturers, the source said.