As India is doubling down its push to replace diesel and gasoline vehicles with electric cars, it has ordered ride-hailing firms like Ola and other services to convert 40% of its fleets to electric by April 2026. A report also claimed that the ride-hailing companies operating in India must show signs of progress within the end of next year. So, newbies who are in a rush to start a ride-hailing business like Ola must acknowledge and take actions before they step into the industry. With the help of Ola clone, the digital part of the business can be easily set up.
Push for electric vehicles
The government has also listed the percentage of progress to target, i.e., 2.5 % of cars by 2021, 5% by 2022, and 10% by 2023. This decision was made since New Delhi looks to cut dependency on oil imports to keep up the commitment that it made as part of the Paris climate change treaty to bring down the air pollution. Even China came up with similar efforts to sell more green vehicles.
But in India, it is still a tough game since the number of vehicles sold is of a tiny portion. According to a survey, only 3,600 EVs were sold last March when compared to diesel and gasoline vehicles which sold 3.3 million (in numbers).
This kind of push that India forces on ride-hailing services will create great frustration for new entrepreneurs and other transportation networks like Uber. Though Uber has a mammoth of potential customers around the globe, it generates less revenue in the case of India due to its competitor Ola.
Ola announces to launch large number of electric vehicles in its fleet
Ola even started to work on electric vehicles, and conducted a trial in Nagpur three years back and clocked millions of kilometers. It also announced last year that it aims to launch 10,000 three-wheeled electric vehicles by the end of next year and 1 million by 2021.
Now, it has planned to partner with Tata Motors Finance and has even acquired debt of Rs.40 crore to purchase electric Nano. Based on the size of the funding, it is speculated that it may have a fleet of 1,000 to 3,000 models of electric Nano. But, it is unclear in which city Ola would introduce these EVs.
Now, this is really a tough game!
Uber which failed in its attempt to sell its food delivery business UberEats to Swiggy and Zomato, appeared to dial down its focus since it went public. And it has no programs going around in India regarding this issue.
But the news of this partnership between Tata Motors Finance and Ola Electric came months after Uber revealed its plans to initiate 50 electric hatchbacks and sedans in its fleet.
Starting-up a Ola like ride-hailing business
With all these rivals going around, it is already time for new entrepreneurs to start a business. Take time to analyze the market and plan to implement the ideas in a cost-competent way.
Get your Ola clone app today to be earlier in the market. Reach a mobile development company like AppDupe who could build you a customer-centric app at an affordable price.