SET-listed aviation tech company Sky ICT is pivoting to a green airport strategy, seizing aviation shifts amid global volatility.
Chief executive Sithidej Mayalarp said the company is repositioning its business to turn global uncertainty into opportunity, accelerating its transition towards becoming a green airport solutions provider, in line with Thailand’s net-zero emissions target by 2050.
The company has closely monitored geopolitical developments, particularly the conflict involving Iran that began to exert a more visible impact on the aviation sector in March, he added.
Airlines, which contribute over 70% of the company’s revenue, have faced mounting pressure from a surge in fuel costs, which reportedly spiked by as much as 300%, prompting some carriers to temporarily ground aircraft.
Despite the initial disruption, overall passenger traffic remained resilient, expanding by 8-15% year-on-year in March, signalling continued short-term growth momentum.
Mr Sithidej said airlines are now adjusting their route strategies to manage costs and maximise efficiency, consolidating passenger loads to achieve full-capacity flights on the most viable routes.
This shift has opened a window of opportunity for Thailand to position itself as a strategic aviation hub, particularly as transit routes through the Middle East face constraints.
“Airlines are now asking to land in Thailand without the need for proactive marketing. It is as though customers have arrived on our doorstep,” Mr Sithidej said.
He urged authorities to capitalise on the moment by introducing targeted incentives, such as temporary discounts on parking bay fees or preferential pricing for 3-6 months, to encourage airlines to establish long-term operations in Thailand.
Such measures could help convert short-term demand into sustained traffic even after geopolitical tensions ease.
Mr Sithidej added that Suvarnabhumi Airport still has ample capacity to accommodate increased passenger traffic.
The company is also optimising operational efficiency and reducing unnecessary costs across both the short and long term.
“Every baht saved translates directly into profit,” Mr Sithidej said, noting that the company’s service-oriented business model is less exposed to fuel price volatility.
Sustainable transition
Mr Sithidej said that Airports of Thailand (AOT) is in the process of developing airports under its responsibility through the implementation of green solutions.
While AOT’s Green Airport master plan is currently in the consultancy phase, implementation is expected to begin within the next 1-2 years.
Mr Sithidej believes that Sky Group’s deep-rooted relationship with AOT and the company’s workforce across airports give it a competitive edge in delivering complex, customised green tech solutions.
He said that Sky ICT is advancing initiatives under the environmental, social and governance (ESG) framework, focusing on smart airport and green airport development.
Among its key initiatives is the deployment of energy-saving solutions for airport buildings and infrastructure, aimed at reducing carbon emissions.
At the same time, it is rolling out its Smart Flow system, which uses advanced data analytics to improve operational efficiency and the passenger experience.
The system enables end-to-end tracking of passenger journeys — from drop-off points and check-in counters to security screening, immigration checkpoints, retail areas and boarding gates — allowing airport operators to optimise space utilisation and resource allocation.
In addition, its predictive analytics capabilities enable operators to anticipate congestion at specific locations and times. For example, the system can forecast peak crowding at security checkpoints during certain hours of the day or on certain days of the week, enabling the proactive deployment of staff to manage flows more effectively.
The company is also applying Lean process principles to eliminate inefficiencies.
By reducing redundant steps in passenger handling processes, from as many as 10 steps to six or seven, airports can cut operational time and manpower requirements by 20-30%, significantly enhancing overall efficiency without additional resources.
The company is promoting an investment model in which it undertakes upfront technology investment on behalf of its clients, particularly government agencies, which can then pay for it on a service basis.
This approach reduces the need for large initial capital outlays while enabling customers to better manage budget risks, and provides Sky ICT with stable recurring revenue.