The shares of Ola Electric rose more than 3% on Tuesday, October 15, a day after the electric vehicle company listed steps it was taking amid rising consumer complaints.

The company has come under scanner after the Central Consumer Protection Authority (CCPA) issued a show cause notice to Ola Electric following a wave of over 10,000 complaints received on the National Consumer Helpline (NCH).

Consumer affairs secretary and CCPA chairman Nidhi Khare told CNBCTV-18 that they had been getting complaints against Ola Electric at NCH’s toll-free number 1915. The CCPA has categorised all 10,000+ complaints under 10 broad categories and asked Ola Electric for urgent redressal.

In an exchange filing on October 14, Ola said it plans to double its company-owned service centre network to 1,000 by December 2024 as part of its “Hyperservice” campaign. The company had first made this announcement on September 27, well before getting the CCPA showcase notice.
The company also said it would onboard 10,000 partners across sales and service by the end of 2025.

The company also said it will begin an EV Service Training programme to train 100,000 third-party mechanics.

Currently, the company operates around 800 stores and approximately 500 service centres.

Apart from the CCPA, the road ministry sources also told CNBCTV-18 that the ministry is aware of the situation at Ola and may seek an explanation regarding customer complaints.

The Automotive Research Association of India (ARAI) is also planning to seek information from Ola Electric regarding its warranty claims and service centres, revealed sources to CNBC-TV18. The agency aims to investigate whether Ola has fulfilled its commitments related to warranty claims, vehicle maintenance, and servicing.

Ola Electric made its debut on the bourses in August after its ₹6,145 crore IPO was subscribed 4.45 times. The shares are listed exactly at their IPO price of ₹76.