Govt Revises ACC PLI Timelines for Ola Electric; Unlocks up to Rs 7,240 Cr

New Delhi: Ola Electric Mobility Ltd on Wednesday said the Ministry of Heavy Industries (MHI) has approved revised timelines under the ACC production linked incentive scheme for Ola Cell Technologies Pvt Ltd (OCT), its wholly owned subsidiary.

The MHI revision is much more than a timeline extension. The approval secures a full five-year PLI window through CY2031 for Ola Electric’s 20 GWh allocation and unlocks up to Rs 7,240 crore in cumulative PLI incentives, the company said in a statement.

Disbursements will be made quarterly, beginning next quarter, creating a recurring incentive stream as Ola Electric scales its cell business, it added.

Ola Electric currently has 2.5 GWh of installed cell-manufacturing capacity, with a further 3.5 GWh under installation.

The company will reach 6 GWh by the end of the current quarter, achieving the initial installed-capacity milestone well ahead of the revised December 2026 timeline.

The MHI decision has effectively extended the original timelines by two years. Lithium cells are becoming a foundational technology across electric mobility, energy storage, drones, robotics and next-generation industrial systems, Ola Electric said.

Building these capabilities in India will strengthen the country’s energy security and technology independence while creating a globally competitive domestic battery ecosystem, it added.

Ola Electric is building a multi-chemistry cell platform spanning NMC and LFP technologies, supported by indigenous R&D, increased localisation of battery materials, improved manufacturing yield, and closed-loop material recovery.

Bhavish Aggarwal, Chairman and Managing Director, Ola Electric, said: “The revised timeline is more than an extension. It transforms the economics of our cell business by converting an earlier milestone overhang into a five-year, quarterly PLI opportunity of up to Rs 7,240 crore.” He further said,”We hadn’t factored any incentives into our business projections after overshooting the original timelines. Ola is now well ahead of the government’s revised schedule, and enables us to access the full potential of Rs 7,240 crore and receive disbursement as soon as next quarter.” At the company’s annual Sankalp event on this Independence Day, Ola Electric will unveil its broader energy product roadmap-including Shakti, Mahashakti, and the next phase of its energy platform.

(Disclaimer: Except for the headline, this article has not been edited by HDFC Sky editorial team and is auto-generated from PTI feed.)