 "Not price cut, but festive discounts: Ola Electric on ARAI notice")
Ola Electric on Tuesday told exchanges that it has not changed the price of the S1 X 2 kWh model and was just doling out festival discounts, about a week after it was issued a notice by Automotive Research Association of India (ARAI) asking why it was not informed about the price cut.
In a statement to exchanges, Ola said that it is running a limited-time festival campaign, offering a general discount of Rs 5,000 to all customers and a higher discount of Rs 25,000 to a select few, applicable only to limited inventories.
During the ‘Boss’ sale (The Biggest Ola Season Sale), Ola dropped the price of the S1 X 2 kWh model to as low as Rs 49,999, from Rs 74,999. Buyers of other S1 versions received discounts of up to Rs 25,000, while those opting for the flagship S1 Pro could avail a Rs 5,000 exchange bonus.
“As part of our response, we have enclosed an invoice raised on 6 October 2024, which evidenced the fact that a discount of Rs 5,000 was given to customers. Furthermore, as part of our response, we have enclosed a screenshot of the app where it is specifically mentioned that we have not changed the price of Ola S1 X 2KWh and the discount of Rs 25,000 was extended only for very limited inventory,” Ola stated.
In its October 8 notice to Ola, ARAI questioned the price change and the company’s failure to inform the agency-- an oversight that could impact the model’s eligibility for a subsidy under the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) scheme.