Ola Electric often comes in headlines for its “deficient services and e-scooters quality”. The Bureau of Indian Standards (BIS) has earlier announced to probe the company over increasing consumer complaints. Now, the Central Consumer Protection Authority (CCPA) has also issued a show-cause notice to Bhavish Aggarwal-led EV firm.
The company, in an exchange filing on December 5, disclosed that the CCPA has asked for additional documents and information following its earlier response to the authority. However, Ola claimed that it has resolved 99.1 per cent of the complaints out of 10,644 complaints received from the regulator.
“With reference to our previous intimation to the exchange dated October 07, 2024 and October 21, 2024, regarding the intimation of Show Cause Notice received by Ola Electric Mobility Limited (“the Company”) from the Central Consumer Protection Authority (“CCPA”), we would like to inform you that the Company has received further communication from the CCPA via email dated December 04, 2024, seeking additional documents and information in relation to the previous response submitted by the Company,” the filing read.
“The CCPA has provided a timeline of 15 days from the date of email communication for the Company to submit the response in respect of seeking additional documents and information. The Company will ensure a timely response within the specified timeframe,” it added.
Ola vs Consumers
Last month, the CCPA also asked the BIS to conduct a detailed investigation over its consumer complaint redressal practices. From September 2023 to August 2024, Ola Electric received a total of 10,644 complaints.
CEO Aggarwal, during an earnings call in November, said the complaints were mostly for “minor” issues like loose parts or customers unfamiliar with the software used.
The issue was even taken to social media platform 'X' where Kunal Kamra and Bhavish Agarwal indulged in a spat over Ola's after-sales and service quality. He posted a picture of Ola's gigafactory, where several scooters parked together seemingly waiting for servicing.
Ola's Hyperservice Campaign
In September, Aggarwal announced the #Hyperservice campaign with the goal of offering technology-led, best-in-class after-sales experience. As part of the announcement, Ola Electric planned to double the company-owned service network to 1,000 centres by December 2024.
As of October, which commands nearly a third of the market share in India's e-scooter market, has added more than 50 service centres and has hired over 500 service technicians across new and existing service centres to streamline operations and clear all backlogs.
The campaign was launched with the goal of offering technology-led, best-in-class after-sales experience. Ola also revealed its store expansion plans earlier this week. Currently, the company has 800 stores across the country. But the firm has planned to increase the store count by 4,000 in India by December 20, 2024.
