CHENNAI: Ola Electric on Monday said it will make two million electric scooters at a greenfield facility in Hosur, Tamil Nadu. This would displace Honda’s Vithalpur facility in Gujarat, which makes 1.2 million units of petrol-powered scooters a year.
Ola has signed a memorandum of understanding (MoU) with the state government for the factory, which will entail an investment of Rs 2,354 crore. The Ola investment will create nearly 2,200 jobs, the state government said. Ola’s pact was part of 18 MoUs signed by the TN government, worth a cumulative investment of Rs 19,995 crore with the potential to create more than 26,500 jobs.
Ola chairman and group CEO Bhavish Aggarwal said, ‘‘We are excited to announce our plans to set up the world’s largest scooter factory. This will be one of the most advanced manufacturing facilities in the world. This factory will showcase India’s skill and talent to produce world-class products that will cater to global markets.” The factory will produce Ola’s upcoming range of two-wheeler products, starting with its electric scooter. “Ola plans to bring many such design and software innovations to its entire product line of two-wheelers,” the company said.
The Ola factory will help “galvanise India’s electric vehicle (EV) ecosystem and establish India as a key player in the EV manufacturing space”, Ola added. “Ola’s factory will cater to customers not only in India but in markets around the world, including Europe, Asia, Latin America and more, and the company is gearing up to launch the first of its range of electric scooters in the coming months,” the statement added.
Earlier this year, Ola announced plans to hire more than 2,000 people for its electric business. Recently, the company roped in General Motor veteran Jose Pinheiro to head its global manufacturing and operations.
Among the other companies that have promised investments in Tamil Nadu are Torrent Gas (to invest Rs 5,000 crore), US-based First Solar (Rs 4,185 crore), Society for Smart Electric Mobility (Rs 2,500 crore) and Voltas (Rs 1,001 crore). These are in different sectors, from electric vehicles to solar & wind power, auto components, pharmaceuticals, city gas supply, e-education to textiles.
Source From : Times Of India