As cities grow smoggier and more polluted each year, switching to electric vehicles is a trend in the right direction. In an ambitious move, Ola’s new e-scooter factory is set to be the biggest in the world, built in an empty 500-acre plot on the outskirts of Bangalore by next year.
With Ola Electric, Bhavish Aggarwal plans to propel Ola into the same league as big names in the electric vehicle (EV) industry. Although Ola plans to make humble beginnings with electric scooters, the company is looking to tap into the $200 billion domestic EV industry in a decade.
What led to the launch of Ola’s new E-scooter factory?
Ola Electric acquired Netherlands-based Etergo BV for an undisclosed sum last year. Etergo BV is an innovative electric scooter company known for its award-winning AppScooter. The Etergo acquisition marked Ola’s foray into the EV scooter space, both nationally and globally. With a compact design and robust engineering, Ola Electric aims to launch the million-dollar EV two-wheeler project and take bold strides towards a clean and sustainable future.
On the first day of launch, the company has already sold scooters worth Rs. 600 crores. Ola claims that it has managed to sell 4 scooters every second of the first 24 hours!
What is the promise of ‘one EV every 2 seconds’?
Situated in the Krishnagiri district in Tamil Nadu, Ola Electric plans to erect a mega-factory over 500 acres, with a mega block of 43 acres. Ola’s new e-scooter factory will have its own test tracks and is expected to be completed by 2022. Phase 1 of the factory was completed on 15 August 2021, and Ola Electric has already rolled out its first S1 scooter. This part of the factory will have an annual production capacity of 2 million units.
This mega factory is a bold venture into uncharted waters by the ride-hailing giant. The factory, at full capacity, is set to have ten production lines and is said to be the most advanced two-wheeler factory in the world. It will be built on Industry 4.0 principles and will be AI-powered by 3000 robots.
The factory has also taken environmental sustainability into account and is said to have 100 acres of forest land with a solar rooftop on the mega block. This mega factory will offer employment to more than 10,000 people along with additional jobs that Ola’s vendors and suppliers will create.
If everything goes according to plan, Ola’s new e-scooter factory plans to produce about 10 million scooters annually and account for 15% of the world’s scooters by the end of 2022. According to Ola, the production will be 20% of the current total global two-wheeler capacity. This would amount to one EV scooter every two seconds, once the plant opens at full capacity next year.
With Ola’s move, we can now expect to see other automobile players follow suit. In all, this is an encouraging move towards a greener and more sustainable future.