“Govt Investigates EV Leaders Over 12,000 Service Complaints”
The Indian government has expanded its scrutiny of the after-sales services provided by electric vehicle manufacturers, initially focusing on Ola Electric and now extending to competitors like Bajaj Auto, TVS Motor, and Ather. This move follows a surge of over 12,000 complaints submitted to the Central Consumer Protection Authority (CCPA), primarily related to delays in services, billing discrepancies, poor customer support, and frequent product issues such as battery malfunctions.
The National Consumer Helpline received approximately 10,644 complaints against Ola Electric alone from September 2023 to August 2024, with grievances ranging from delays in service and delivery to unresolved technical issues. Around 3,389 complaints specifically pertained to long wait times for service appointments, while other complaints involved overcharging, unmet promises of refund, and the sale of refurbished scooters as new. The CCPA issued a show-cause notice to Ola Electric, mandating a response within 15 days and expressing concerns over potential violations of the Consumer Protection Act, 2019. This legislation emphasizes the rights of consumers, which include accurate advertising, timely service, and fair pricing.
Apart from Ola, other electric two-wheeler manufacturers have also faced criticism. TVS Motor and Bajaj Auto received a significant share of complaints on similar grounds, with customers reporting that essential services like battery replacement or repair services were either delayed or unavailable. Given the government’s strong push toward green energy and the rising popularity of electric vehicles in India, the quality of after-sales support has become crucial to sustain consumer trust in this emerging sector. CCPA Secretary Nidhi Khare highlighted the need for companies to address these widespread complaints promptly and urged manufacturers to improve their service quality as a priority.
Amid the ongoing investigation, Ola Electric’s stock experienced a sharp decline of nearly 9% as public dissatisfaction grew. The company has not issued an official response, but the repercussions of these consumer complaints are expected to influence both corporate practices and consumer rights advocacy within the electric vehicle market. The CCPA’s decision to investigate these issues reflects the government’s commitment to consumer protection, particularly in rapidly evolving industries where regulatory oversight is crucial.
This investigation sends a clear message to EV manufacturers: as electric vehicles become more widespread, high standards for customer service, prompt repairs, and transparency in business practices will be essential for long-term success.
