Bhavish Aggarwal-led electric two-wheeler manufacturer Ola Electric said on Wednesday that the first day of its Ola Muhurat Mahotsav had seen an unprecedented response, with all units on offer for the day sold out within five minutes of the window for purchasing the scooter opening.

“Ola Muhurat Mahotsav has struck a deep chord with Indians. To be sold out in five minutes on Day one shows the strength of our mission, which is to make EVs accessible to every Indian household,” said an Ola spokesperson in a statement.

The demand stemmed from Ola’s festive campaign, 'Ola Celebrates India,' which introduced prices starting at ₹49,999 for its S1 scooters and Roadster X motorcycles. The first day rush saw several eager customers logging in simultaneously to secure their vehicles during the limited-time Muhurat slot. The Ola Muhurat Mahotsav will run till October 1, with new slots for limited units opening each day at special Muhurat times.

This year’s festive season is crucial for pure-play electric vehicle manufacturers like Ola Electric, as they will face competition from ICE counterparts that now have the added benefit of a reduction in GST. Two-wheelers with engine capacities of less than 350cc have seen their GST rates reduced from 28% to 18% under the new tax structure, with the aim of providing greater access to mobility for young people, rural residents, and gig economy workers.

However, the GST for electric vehicles has remained unchanged. “While the GST cut may push premiumisation from economy to executive vehicles, it will also attract first-time buyers as the on-road price of entry-level motorcycles will fall from ₹70,000 to ₹63,000,” HSBC said in a note earlier this month. However, growth in electric two-wheelers will stagnate due to the decline in value proposition, the note reads as a caveat.

Ola Electric recently rolled out its millionth vehicle from its Futurefactory manufacturing facility in Tamil Nadu. To commemorate the occasion, Ola Electric rolled out a special edition of the Roadster X+ electric motorcycle.

Ola Electric commenced manufacturing at the Krishnagiri facility in 2021 and has managed to produce a million vehicles in four years, which the company attributed to robust demand for its S1 portfolio of electric scooters and the recently launched Roadster X electric motorcycles.

“In four years, we’ve gone from an idea to becoming India’s EV two-wheeler leader. We built at scale and proved that world-class products can be designed, engineered, and manufactured right here in India,” an Ola Electric spokesperson had said in a statement.

According to data released by the Federation of Automobile Dealers Association (FADA), Ola Electric retailed 18,972 vehicles in August, down from the 27,623 vehicles it produced in the same month last year.

Ola Electric shares were trading 0.41% lower on the bourses at ₹58 apiece.