Coal India Limited (CIL), a state-owned enterprise, is taking proactive measures to absorb rising operational costs due to increased prices of explosives and industrial diesel, thereby protecting coal consumers in India from potential price hikes. The price of Ammonium Nitrate (AN), a key component in explosives, has surged by 44%, rising from ₹50,500 per metric ton to ₹72,750 per metric ton as of April 1, 2026. This spike has led to a 26% increase in the average cost of explosives, which reached ₹49,783 per metric ton by March end. Additionally, industrial diesel prices have jumped by 54%, from ₹92 per liter to ₹142 per liter, significantly impacting CIL's operational costs, especially as the company consumed approximately 4.19 lakh kiloliters of diesel in the fiscal year 2025-26. To mitigate these challenges, CIL has reduced the reserve price of coal in its e-auctions and increased the frequency and volume of coal auctions, aiming to supply coal at affordable rates to Indian citizens.