Players like Ola Electric, Ather Energy, Kinetic Green and BGauss are introducing premium services and infrastructure enhancements.
Bengaluru-headquartered electric two-wheeler manufacturer Ather Energy is all set to file its draft red herring prospectus within the second week of September to the Securities Exchange Board of India (Sebi) for its maiden initial public offering (IPO), in which it is expected to raise over $450 million. On Tuesday, the fourth-largest electric two-wheeler maker in the country by volume raised Rs 600 crore from its existing investor, the National Investment and Infrastructure Fund (NIIF), catapulting itself into a unicorn with a valuation of $1.3 billion.
'Our expectations are that we will be able to double our market share from 14-15 per cent currently to around 30 per cent by the end of the financial year.'
From the customer point of view too, LFP batteries are safer and offer a longer life.
Can Bhavish Aggarwal upend the electric two-wheeler market, which is now overwhelmingly in favour of scooters?
Electric scooter registrations of eight companies which represent 95 per cent of the market have seen a sharp fall of over 24 per cent in May. They have registered 32,680 electric scooters against 43,098 in April according to VAHAN data from the Ministry of Road Transport and Highways available till the evening of 31 May. Auto analysts say the fall is a reflection of the initial pent up demand in the market for such vehicles,which was evinced in huge bookings, being met.
The electric scooter juggernaut which has been picking up momentum with heady growth month-on-month is now slowing down. The combined number of registrations in April of eight electric two wheeler companies has seen a dip of over 1 per cent to 43,061 vehicles, according to data from the Ministry of Road Transport & Highways' site VAHAN. The reasons are the continuing shortage of chips, especially after the Ukraine-Russia war, and the spate of fires which have led to scooters being recalled by manufacturers.
Ola Electric is moving the delivery for the first batch of its electric scooters to between December 15 to the end of the month, a two- to four-week delay from its earlier schedule, due to a shortage of chipsets and electronic parts. The first batch of deliveries were scheduled for November 30 but the company decided to delay them after a meeting between its factory team and the global supply chain on Saturday. It became clear that the late delivery of chips and electronic parts was only 'getting worse', sources told Business Standard. Ola has apologised to customers for the delay and said it is "ramping up production as fast as we can so that you can get your Ola S1 at the earliest". It has stopped taking any new bookings until the chip shortage has eased, say sources.
An EV has to be purchased along with the battery as there are hardly any battery swapping, rental, or leasing business models available across India.
The impact for all electric two-wheelers, which are imported mostly from China, is that it will lead to price escalation that will be passed onto customers.
EV players suggest a reduction in the goods and services tax on batteries from 18 to 5 per cent as it would help push demand.
The $306-million investment in Ola Electric Mobility by SoftBank Corp, Arun Sarin Family, Ratan Tata and Matrix has been the biggest funding in this space in value terms this year.
At the pre-Budget meeting at Niti Aayog, Modi called for a focussed effort from all stakeholders in order to achieve the target of $5 trillion economy. The participants urged the government to focus on credit expansion, exports growth, governance of PSBs, increasing consumption and job creation.
Ather Energy would set up 30 charging points across Bengaluru by the end of May and the number would go up to 60 by the end of the year.
There's little interest in seed funding now as investors are finding it a risky proposition.
Modi has set a target of generating 100 Gw of solar power by 2022.
Meet the new class of Forbes India 30 Under 30.
Even as India goes green, lack of uniform standards for setting up charging stations is holding back companies. Alnoor Peermohamed reports.
Large manufacturers are investing in small companies to get a peek into their R&D. Alnoor Peermohamed and Anita Babu report.
© 2026 Rediff.com - Investor Information - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances