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Ola, Ather, TVS, and Others meet with government officials to discuss FAME-II mispricing allegations

Ola Electric, Ather Energy, TVS Motors, and Hero MotoCorp representatives are said to have met with government officials to respond to recent whistleblower allegations of vehicle mispricing under FAME-II standards.

According to an ET report, these companies responded to an email sent by the testing organisation Automotive Research Association of India (ARAI).

The testing agency had requested clarification on allegations that these original equipment manufacturers (OEMs) were billing their chargers and add-on software upgrades separately in order to take advantage of the subsidies.

According to media reports, the EV makers were under government scrutiny last month after a whistleblower accused them of billing software and charger separately to artificially keep the vehicle price under the FAME-II scheme’s limit.

According to the FAME scheme, electric two-wheeler OEMs cannot claim subsidies on vehicles costing more than INR 1.50 lakh ex-factory. Currently, the scheme offers INR 15,000 per kWh battery size for two-wheelers, up to 40% off the sticker price.

For example, both Ather and Hero MotoCorp stated that they have set up free charging stations for customers, with Ather claiming 1,100 Ather Grids and a 100-member team running them and Hero MotoCorp claiming 300 charging stations in 50 cities.

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