Tag - Ola Electric controversy

Key highlights Ola Electric clarifies February 2025 sales figures, stating they reflect fully paid customer orders. Discrepancies arose due to internal registration process transitions and inclusion of unlaunched models. The Ministry of Road Transport and Highways has sought further clarification on the matter. Ola Electric has issued a detailed clarification regarding its February 2025 sales figures. The company faced scrutiny after reports suggested discrepancies between its announced sales numbers and vehicle registrations recorded on the VAHAN portal. Ola has now addressed these concerns, emphasizing that its sales data reflects genuine customer demand backed by full payments. Ola Electric clarifies sales numbers In February, Ola Electric reported sales of 25,207 units, claiming a market share of over 28% in the electric two-wheeler segment. However, VAHAN data showed only 8,600 registrations for Ola vehicles during the same period. The discrepancy was attributed to Ola’s inclusion of orders for its Gen 3 electric scooters and Roadster X motorcycles—models that were available for full purchase but had not yet been delivered. Ola clarified that nearly 90% of the reported orders were paid in full at the time of placement, distinguishing them from preliminary bookings. The company explained that its registration process was disrupted due to an internal transition aimed at improving efficiency. As a result, sales figures were disclosed based on paid orders rather than completed registrations. MoRTH on Ola Electric sales numbers The Ministry of Road Transport and Highways (MoRTH) has asked Ola to revise its sales figures to reflect only invoiced and delivered vehicles. The ministry warned of potential adverse action if clarification is not provided within seven days. Ola defended its practices, stating that its direct-to-consumer sales model adheres to standard industry practices, where revenue is recognized only after registration and delivery. Despite the controversy, Ola Electric remains optimistic about its growth trajectory. The company recorded sales of 344,005 units in FY2025, maintaining its position as India’s largest pure-play EV maker. Ola has also announced plans to scale up same-day registration and delivery services across India, starting with a pilot program in Bengaluru. Also read: Ola electric inflated their sales numbers, included unlaunched models