With the launch of “Raahi,” Ola Electric Enters the Electric Autorickshaw Market

The Economic Times said that Ola Electric is preparing to launch an electric autorickshaw later this month, perhaps under the name “Raahi.” Over the last several years, Ola Electric has been working hard to create “Raahi” as part of a larger plan to enter the commercial vehicle market.

With this upcoming launch, the business is making a bold move into the competitive electric three-wheeler market, where it will take on well-known competitors like Mahindra Treo, Piaggio Ape e-city, and Bajaj RE.

Ahead of its planned initial public offering (IPO), industry sources indicate that Ola Electric is expected to make big announcements in the next months, including updates on its gigafactory. The Economic Times said that the corporation has stayed silent and declined to answer questions about its ambitions.

With rivals like Mahindra, Piaggio, and Bajaj pricing their e-autorickshaws between Rs 2 lakh and over Rs 3.5 lakh and catering to different consumer segments based on model specifications and additional features, the Indian electric autorickshaw market offers Ola Electric a lucrative opportunity. Through its entry into this sector, Ola Electric hopes to use its technical know-how and well-known brand to carve out a position for itself and gain a firm footing in the commercial electric vehicle industry.

With a dominant 41 percent market share as of February 2024, Ola Electric has already shown its superiority in the electric scooter area in terms of market performance. This outstanding accomplishment demonstrates the company’s capacity to pique customer interest and promote the use of electric cars in India. TVS Motor, Bajaj Auto, and Ather Energy are the competitors that lag behind, holding market shares of 17.7%, 14.2%, and 11%, respectively.

Data from the government’s transportation website, Vahan, shows that sales of electric three-wheelers have increased significantly, topping 580,000 units in 2023—a 66 percent rise from the year before. More than half of all three-wheeler sales in 2023 were electric, a sign of customers’ increasing choice for environmentally responsible transportation options.

Ola Electric is stepping up its efforts in the electric two-wheeler sector, where it presently maintains a leadership position, in addition to its entry into the electric autorickshaw business. To further boost customer trust in its goods, the business announced in February 2024 that the battery guarantee will be extended to eight years for all scooter versions.

In addition, Ola Electric intends to establish 10,000 fast-charging stations, provide clients portable fast chargers, and increase the number of service centers in its network to 600 by April, demonstrating its dedication to offering seamless infrastructure and support services for electric vehicles.

The company’s December 2023 submission of a draft red herring prospectus (DRHP), which aims to raise up to Rs 5,500 crore via a new issuance and an offer for the sale of 95.2 million shares by current investors, supports the company’s ambitious expansion aspirations. The declaration made by Ola Electric’s founder and CEO, Bhavish Aggarwal, that a gigafactory will be established by the end of the current quarter serves as more evidence of the company’s dedication to increasing production and meeting India’s rising demand for electric vehicles.

The impending release of Ola Electric’s electric autorickshaw, the “Raahi,” marks a critical turning point in the company’s efforts to advance environmentally friendly transportation options and encourage the use of electric cars in India. Ola Electric is well-positioned to revolutionize the electric vehicle landscape and open the door for a more sustainable and environmentally friendly future thanks to its ambitious development ambitions and demonstrated track record in the electric scooter category.

All eyes are on Ola Electric as it starts this fascinating new chapter of development and innovation in the electric car market, as expectation mounts for the IPO and more announcements.