On that note.
Demolition Expert should be two ranks with +30%DMG instead of three ranks with +20%DMG.
Agree, and pretty much everything else you've said about explosives.
I think it's kind of farfetched to have explosives as a primary weapon skill. I really don't see why realism should be bent enough to provide "safe" explosives. If you bounce a grenade off a wall and it explodes at your feet, you should die horribly, just as you would IRL.
You talk about realism being bent? I mean really..... in Fallout?
To fix explosives you need to rearrange their perks, allow crafting and increased purchasing points, and maybe make it so they penetrate a little DT?
At the very least make it so a HE rocket from Unique missile launcher at full 100skill does less than me punching someone with a Powerfist.