Ola Electric face downside in EV registrations for the fourth consecutive month; down by 11.2% MoM

Ola Electric Scooter S1

The sales of Ola Electric’s electric scooters appear to be declining without any clear signs of recovery, despite Bhavish Aggarwal’s company’s constant promotion of its experiments and innovations in the EV market.

According to data published by Vahan on September 3, Ola Electric had a fall in e-scooter registrations for the fourth consecutive month in August, and the company was ranked sixth in terms of two-wheeler EV registrations with 3,429 units.

August registrations for the startup were down 11.2% from 3,862 units in July. Ola Electric’s registrations decreased 73% in August compared to April of this year, when they were at their peak.

The electric mobility company was not immediately available to explain the decrease in registrations of its EVs.

In mid-August, Ola Electric announced the release of the new, reasonably priced Ola S1 electric scooter model. It will be interesting to see if it aids the startup in expanding its registrations.

Despite a steady rise in the nation’s registrations of electric two-wheelers overall in August, Ola Electric registrations continued to fall. In August, registrations for all electric two-wheelers increased 13% month over month (MoM) to 50,414 units, with Hero Electric topping the list.

In contrast to the significant reduction over the previous three months, it is important to note that Ola Electric’s e-scooter registrations fell less in August on a MoM basis.

After several users started reporting problems with Ola Electric’s e-scooters, including fire incidents, the company’s demand for two-wheelers started to fall. Although it was not the only company whose e-scooters caught fire in India, it received greater criticism online as users brought up several additional safety concerns and alleged delivery delays, among other difficulties.

Despite this, Ola Electric said last month that it would be releasing an electric four-wheeler, with a 2024 debut date.

Aggarwal also claimed that it would be “one of the fastest cars built in India”.

The company, meanwhile, asserted that it had already begun producing EV battery cells in the nation. To support its whole EV business, Ola Electric wants to construct three factories: a 200-acre four-wheeler factory, a 100-acre cell plant, and a 40-acre two-wheeler factory.

In response to this, Ola Electric claimed in a statement on Thursday (September 1) that it sold 10,000 of its latest electric two-wheeler Ola S1 within 24 hours of opening the booking window for bookings.

For the first time since March of this year, the total number of electric two-wheeler registrations in India surpassed 50,000 in August. According to Vahan data, Hero Electric topped the list with 10,479 total vehicle registrations, up from 8,954 in July and 6,505 in June.

Okinawa Autotech’s vehicle registrations increased for the second month in a row to 8,557 units after seeing a two-month fall in May and June due to several fire accidents involving its e-scooters.

Ather Energy, on the other side, experienced the greatest increase in vehicle registrations in August. From 1,289 units in July to 5,258 units in the previous month, registrations increased by 4X.

Moreover, it is important to note that major manufacturers like Hero MotoCorp, TVS Motors, and Bajaj Auto are also expanding rapidly into the two-wheeler EV market and are gradually but surely beginning to occupy leading positions in the EV market.

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