Boosting investor sentiment, Ola Electric shares rise as NITI Aayog readies policy talks to speed motorcycle electrification.
Shares of Ola Electric rose nearly 5 per cent on Monday following reports that NITI Aayog has convened a high-level meeting with India’s leading two-wheeler manufacturers to push the electrification of motorcycles.
The stock climbed as much as 4.7 per cent to ₹49.40 on the BSE after The Hindu Business Line reported that government officials will meet executives from Hero MotoCorp, Bajaj Auto, TVS Motor, Ola Electric, Ather, and Revolt. The agenda is expected to centre on strategies to improve electric motorcycle adoption, a segment that accounts for two-thirds of India’s two-wheeler market but currently has only 0.1 per cent penetration.
By contrast, electric scooters making up one-third of the market, have already captured nearly 15 per cent share. Government projections suggest electric scooters could account for 80 per cent of sales by 2030, while electric motorcycles may reach only 10 per cent, leaving overall two-wheeler electrification far below policy targets.
Industry sources said Monday’s discussions would likely explore cost reduction, battery-swapping networks, and innovative financing models to tackle high upfront prices, seen as the biggest barrier to adoption. Unlike scooters, which benefitted from Chinese models and supply chains, electric motorcycles lack a similar foundation, forcing Indian firms to develop technology domestically.
While start-ups such as Ola, Revolt, Matter, and Oben are driving early momentum, legacy manufacturers have been slower to act, focusing instead on expanding their electric scooter portfolios. The government’s intervention is now viewed as critical to scaling motorcycle electrification.
