Ola Electric in trouble, CCPA finds inconsistencies in complaint resolution claims

Ola Electric, India’s leading electric two-wheeler manufacturer, faces scrutiny from the Central Consumer Protection Authority (CCPA) over unresolved consumer complaints.

While the company claims an almost perfect resolution rate, discrepancies have emerged, prompting further investigation. This ongoing conflict highlights the challenges of maintaining consumer trust in a fast-growing EV market.

Ola Electric’s Consumer Grievances Investigated

The CCPA randomly contacted 250 Ola Electric customers to verify the company’s claims of resolving nearly all complaints. Many customers expressed dissatisfaction, indicating that their grievances were merely closed without proper resolution. Source: NDTV Profits

This action follows over 10,000 complaints filed with the National Consumer Helpline in the past year, reflecting concerns over Ola’s after-sales service and product quality.

Response from Ola Electric

In its defense, Ola Electric stated that 99.1% of complaints were addressed satisfactorily through its robust redressal mechanism. The company emphasized its commitment to resolving customer issues and claimed to have responded adequately to previous CCPA notices.

However, ongoing dissatisfaction among customers has cast doubt on these assertions.

CCPA’s Escalated Measures

On November 14, the CCPA instructed the Director General of Investigation from the Bureau of Indian Standards (BIS) to conduct a deeper investigation. This directive came after Ola reiterated its high complaint resolution rate, which contrasted with consumer feedback.

The BIS investigation report is expected to shed light on whether the company engaged in misleading practices or genuinely resolved complaints.

Previous CCPA Actions

This is not the first time Ola Electric has faced scrutiny from the CCPA. On October 7, the company was issued a show cause notice over allegations of misleading advertisements, unfair trade practices, and consumer rights violations.

Despite submitting responses and documentation, Ola’s handling of complaints continues to face criticism.

Conclusion

The CCPA’s investigation into Ola Electric highlights the critical role of consumer trust in the EV industry. As the probe unfolds, it remains to be seen how Ola will address these concerns and restore its reputation.

A transparent resolution process is essential for maintaining consumer confidence and supporting the growth of sustainable mobility in India.