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Ola Electric, India’s leading electric scooter manufacturer, is facing an investigation by the Bureau of Indian Standards (BIS) over allegations of deficient services and product quality. The probe, initiated by the Central Consumer Protection Authority (CCPA), follows a surge of over 10,000 complaints lodged on the National Consumer Helpline, primarily regarding the company’s after-sales services and repair delays.
The CCPA issued a notice to the SoftBank-backed company last month, seeking clarification on the alleged violation of consumer rights. In response, the BIS has been tasked with assessing whether Ola Electric has addressed these complaints effectively and is adhering to customer service standards. The certification agency has been directed to submit its findings within 15 days.
The complaints, which have sparked widespread discussions on social media, include reports of delays, unresolved repair issues, and dissatisfaction with customer support. In October, the company made headlines when a social media spat erupted between Ola Electric founder Bhavish Aggarwal and a stand-up comedian over service deficiencies.
During a recent earnings call, Aggarwal dismissed most of the grievances as “minor issues,” attributing some to customers’ unfamiliarity with the e-scooter’s technology. He emphasized that Ola Electric has taken steps to resolve nearly all complaints reported to the CCPA.
Ola Electric, which commands a 27% share in the Indian EV market, operates the largest integrated and automated electric vehicle manufacturing plant in the country. The company also boasts research and development facilities in India, the UK, and the US, including a state-of-the-art Battery Innovation Centre.
Despite Aggarwal’s assurances, the ongoing investigation underscores growing concerns about the company’s ability to maintain quality standards amidst rapid expansion. The outcome of the BIS probe will determine whether Ola Electric’s practices align with statutory consumer rights and service expectations.
The company has yet to issue an official statement regarding the probe. The findings of the investigation are expected to have a significant impact on Ola Electric’s market reputation and customer trust.
Sources By Agencies
