Message from President

2021 was a challenging year where the world was faced with the Coronavirus Disease 2019 (COVID-19) pandemic. Given that the situation was likely to be better due to vaccine distribution, aviation and tourism industries worldwide and in Thailand were still greatly affected by travel restriction measures. This caused a 30% decline in fuel volume serviced by Bangkok Aviation Fuel Services (BAFS) Group, compared to the previous year and total revenue of 1,664.1 million Baht, an 11.6% decline compared to the previous year. Despite such tremendous impact on BAFS’s operations during 38 years since its establishment in 1983, BAFS Group is still committed to delivering quality services according to international standards while ensuring maximum safety and implementing the liquidity policy, stringent cost reduction measures, preventive measures of COVID-19 in a systematic manner, and risk management to prevent impacts on the country’s air transport and energy security.

Amid slowdown in the aviation industry, BAFS Group still places focus on continuous business development. In 2021, Fuel Pipeline Transportation Limited (FPT) completed expansion of the Northern Fuel Pipeline Transportation System (Bang Pa-In - Pichit - Lampang) with a distance of 576 kilometers.

This has made FPT to have the longest fuel pipeline transportation system in Thailand and ASEAN region.

Bafs

M.L. Nathasit Diskul

President

2021 also marked BAFS Group’s first move into renewable energy business.

BAFS Clean Energy Corporation Company Limited (BC) acquired

Solar power plants in Thailand

Solar power plants in Japan

with total installed capacity of 49.4 MW. This was the first expansion of foreign direct investment of BAFS Group.

With grave concern over the environmental impacts, BAFS Group has then initiated aircraft refuelling services with EV Hydrant Dispensers from BAFS INTECH Company Limited (BI). BAFS Group already signed the MOU with ITURRI, the world’s leading manufacturer of EV Hydrant Dispensers from Spain, to be the dealer of EV Hydrant Dispensers, thus accommodating business expansion both in Thailand and ASEAN region.

Another important milestone of BAFS Group is the establishment of a joint venture, Global Aero Associates Company Limited (GAA), to provide aviation fuel services at U-Tapao International Airport under the Eastern Economic Corridor (EEC) Development Plan, making it the third major international airport.

BAFS Group is still determined to deliver value to stakeholders with a balance of economic, social and environmental aspects as in accordance with the Sustainable Development Goals (SDGs) by continuing projects that aim to create positive impacts and enhance community participation in the areas where BAFS Group operates business, e.g. Farm Hug by BAFS Group project, Buffer Zone development project, and reforestation project. With such determination, BAFS was then included in a list of sustainable stocks (THSI) for the 7th consecutive year.

BAFS also received a rating of “Excellent” in the 2021 Corporate Governance Report of Thai Listed Companies (CGR) for the 13th consecutive year.

I have firstly held the position of BAFS President in 2021. I feel deeply honored by the trust the Board of Directors has placed in me to hold this position. I am aware that we are still faced with fluctuating and rapidly changing world, including weather, technology leapfrogging, social behavior, and population structure. 2021 was then the first year of BAFS Group’s development of strategic plan by setting business directions under the same purpose, i.e. “Uplift and Power the World to a New Height”, thus further leading to the vision “Uplifting the World through Sustainable Business” to focus on balanced and sustainable growth in terms of economic, social and environmental dimensions.

From the aforementioned purpose and vision, BAFS Group has established 3 major strategies as operational objectives, namely (1) Sustainable Growth Strategy to achieve revenue targets in 2026, consisting of 50% from Aviation business group, 40% from Utility and Power business group, and 10% from Business Solutions and Services business group, reduce reliance on core revenue from aircraft refuelling service business, and achieve Net Zero target by 2050; (2) Organization Transformation Strategy to enhance flexibility, agility and competitiveness in BAFS Group’s organizational structure; and (3) People Strategy to focus on continuous employee competency development.

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 support given to BAFS’ operations. I am confident that hard work and dedication amid the crisis of all BAFS employees, business sustainability according to BAFS Group’s strategic plan based on effective management practices, and continuous business development can ensure BAFS Group’s sustainable growth to fulfill our mission towards the society, the nation, and the world.