The 19-year-old has been put up for the award alongside fellow youngsters, Harvey Elliott of Blackburn Rovers, and Norwich City's Max Aarons.
The shortlists have been revealed for the awards ceremony taking place on Thursday 29 April, and it will be broadcast live from 7:30pm on Sky Sports Football.
Having really come into his own this season, Olise has contributed a lot to the team with his flair and creative ability in the final third - and he looks set to finish the season with an impressive six goals and a further 10 assists - all this still with two games to play.
His ability to shoot from range and convert from set pieces has proved vital, and his goals in particular have helped the Royals to victories over Queens Park Rangers, Blackburn Rovers, Barnsley, Sheffield Wednesday and Derby County.
Olise's assists tally, which recently rose to double digits, is the joint fourth highest in the division, which lands the midfielder, who has been with the club since 2016, in impressive company.
The Royals danger man, who has represented France at youth level, has certainly had a season to remember, racking up 42 league appearances this campaign.
If he were to take the award during the week, Olise would join an esteemed list of winners that includes the likes of Ollie Watkins, Jude Bellingham, Ryan Sessegnon and current nominee Aarons who took home the award in 2019.
The 2021 EFL Awards celebrates and recognises the continued efforts and achievements of Clubs, players and individuals during what has been an incredibly challenging season for everyone.
As sponsor of the award, EA Sports will be hosting an online vote, which goes live on Wednesday 28 April. This will equate to 25% of the overall result, with the other 75% made up of votes from the EFL Awards judging panel.
Nominations were debated at length by an expert judging panel earlier this month, with votes also compiled for the Championship, League One and League Two Teams of the Season which will be announced live on the night.
The evening will feature the announcement of 11 awards in total, with the full shortlists as follows below:
Sky Bet Championship Player of the Season
Emi Buendia – Norwich City
Teemu Pukki – Norwich City
Ivan Toney – Brentford
Sky Bet League One Player of the Season
Jonson Clarke-Harris – Peterborough United
George Honeyman – Hull City
Charlie Wyke – Sunderland AFC
Sky Bet League Two Player of the Season
Paul Mullin – Cambridge United
Wes Hoolahan – Cambridge United
Jamille Matt – Forest Green Rovers
EA Sports Young Player of the Season
Harvey Elliot – Blackburn Rovers
Michael Olise – Reading
Max Aarons – Norwich City
LFE Apprentice of the Year – Championship
Will Trueman – Sheffield Wednesday
LFE Apprentice of the Year – League One
Lewis Johnson – MK Dons
LFE Apprentice of the Year – League Two
Felix Miles – Cheltenham Town
Your Move Community Club of the Year
Sunderland AFC
Blackburn Rovers
Port Vale
Portsmouth
Bristol Rovers
Watford
PFA Players in the Community
Will Vaulks – Cardiff City
Alex Rodman – Bristol Rovers
Matty Dolan – Newport County
Sir Tom Finney, Contribution to League Football and Screwfix Moment of the Year Awards
To be announced on the night
2021 Mitre Goal of the Season
Alex Mowatt - Millwall vs BARNSLEY 24 October 2020
Fraizer Campbell - HUDDERSFIELD TOWN vs Nottingham Forest 25 September 2020
Grant Leadbitter - Doncaster Rovers vs SUNDERLAND 21 November 2020
Jamal Lowe - Cardiff City vs SWANSEA CITY 12 December 2020
Lee Novak - Grimsby Town vs BRADFORD CITY 22 December 2020