Coal India Limited (CIL) is absorbing the price shock of increasing input costs, insulating Indian coal users from escalating costs.
According to a BSE filing, the company is taking steps to protect users from the impact of rising prices of explosives and industrial diesel. This move is expected to have a positive impact on the energy sector.
The cost of Ammonium Nitrate (AN) has increased by 44 percent, from Rs.50,500 per metric ton to Rs.72,750 per metric ton as of 1 April 2026. This has resulted in a 26 percent increase in the average cost of explosives used by CIL in its opencast mines.
The company is also compensating contractors for the increased price of industrial diesel, which has risen by around 54 percent from Rs. 92 per litre to Rs. 142 per litre as of 1st April 2026. This move will help reduce the burden on contractors and ensure smooth operations.
As part of its efforts to supply coal at an affordable price, CIL has reduced the reserve price of coal in Single Window Mode Agnostic e-auction.
The company has also increased the frequency of auctions and the quantum of coal to be put under the auction.
This move reinforces CIL‘s position as a responsible player in the energy sector, committed to protecting the interests of its users.
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