Bangkok Aviation Fuel Services Public Company Limited (BAFS) was founded by Cabinet Resolution in November 22, 1983 to construct and operate aircraft refuelling services at Bangkok International Airport (Don Mueang). Since then, and throughout its 36 years, BAFS has been playing an important role in fuelling Thailand’s air transport to become an aviation hub of the region and the world. BAFS has successfully been doing business based on good corporate governance, emphasizing efficient management and international standard work process, governed by best practices, business integrity and fidelity. This results in a transparent and progressive organization that develop into a leading refuelling company at the international level.
For this year,
In 2020, the Coronavirus Disease 2019 (COVID-19) brought the tourism and aviation industries of the world and Thailand to a standstill. Various governments put strict measures on international travel restrictions, resulting in a decline of more than 60 percent in the aviation fuel volume, and a 52 percent decline in total revenue of BAFS GROUP. As a result, it is necessary for BAFS to focus on the financial risk management by imposing a policy to maintain cash liquidity and an adequate cash flow for BAFS GROUP’s operations amid the situation at that time. Strict cost reduction measures, postponing investments in some projects, managing cash reserves from retained earnings and debentures, securing loans from financial institutions are some of the measures taken to reduce the impacts caused by volatility of cash flow and to generate sufficient fund for investment in requisite projects that would readily generate incomes. In addition, BAFS has systematically set the measures to prevent infection and epidemic of COVID-19 among its employees and monitoring the situation closely to ensure the readiness for operations and business continuity.
The severe impacts of COVID-19 outbreak had caused BAFS’ negative financial result for the first time. Notwithstanding this and based on the good governance principles, efficient risk management, knowledge management towards innovation and sustainability management; BAFS could successfully execute the Growth Strategy in 2020 to strengthen BAFS GROUP’s financial stability through the operations of its subsidiaries, namely; preparation for the investment in the new airport refuelling system; assembly, distribution and export of aircraft refuelling vehicles in the region by BAFS Intech Company Limited; innovation development and digital solution business by BAFS Innovation Development Company Limited; and the latest, the investment in solar power plants by BAFS Clean Energy Corporation Company Limited which enabling BAFS to realize earning of revenues from power plants which are already in full commercial operation.
For the northern fuel pipeline transportation project (NFPT), Fuel Pipeline Transportation Limited has completed the construction and operated for commercial Message from the President service at Phichit depot since June 2019. Whereas its Lampang depot is expected to be completed and commercial operation will commence in the third quarter of 2021. NFPT is a mode of fuel transportation which is a closed system. It prevents leaks of oil vapors, reduce CO2 emissions and PM2.5 pollution. In addition, the fuel pipeline transportation is the safest mode of fuel transport and helps reduce accident rates, minimize road surface damages caused by fuel trucks, and more importantly, support community employment to achieve mutual sustainability.
At the same time, BAFS is certified as Carbon Neutral Company in alignment with its policy to carry environmental friendly business, underlining business approaches of BAFS GROUP.
Essentially, BAFS has laid a strong foundation for future business growth and enhanced sustainability for all its stakeholders, covering economic, social and environmental dimensions. BAFS is committed to being a role model as an energy service leader, operating business within the sustainability framework and creating positive impacts to give value for and to obtain the so-called license to operate from all its stakeholders. BAFS’ business approach is consistent with and responsive to the United Nations’ Sustainable Development Goals (SDGs),
On behalf of the Board of Directors, Management and employees of BAFS, I would like to extend our thanks to all stakeholders for the trust and supports given to BAFS’ operations. I am confident that BAFS’ business model based on good governance and sustainability principles and its growth strategy have made BAFS ready for the future world in transformation and a new generation of society. This will bring desirable results to all stakeholders and create positive impact for the business and for the country at large in term of economic, social and environmental dimensions. This, I believe, truly reflects the resilience and sustainability of our BAFS GROUP.