Good morning. My name is Mateo Ochoa, and I am part of the team of investor relations of ISA. We would like to thank you all for joining us in this presentation of results of the fourth quarter of 2023 of ISA and its companies. During the presentation, you can ask your questions through the window you see on the right-hand side of your screens. Please provide your name and your organization, and in the very last part of the event, we can answer your questions. Let us move on to the next slide, please. Today we have Gabriel Melguizo Posada, Acting President of ISA, Daniel Isaza, VP of Corporate Finance, Patricia Castaño, VP of Corporate Strategy, and Sebastián Castañeda, Acting VP of Road Concessions. The agenda of today begins with the highlights of the fourth quarter explained by Gabriel Melguizo.
Next, Daniel Isaza will give our quarterly financial results, and then we will have a special chapter to talk about the operating report of the adjusted EBITDA that we published in the report of the quarter. Then we will return with Gabriel for the closing remarks, followed by the Q&A session.
Thank you, Mateo. As always, I am very thankful to be with all of you. Thank you for joining us. Let us move on to the next slide, please. Within the dimensions of the ISA 2030 strategy, which is based on sustainable value generation, we have several milestones we would like to mention. In the first dimension, which is our responsibility to create value for our shareholders, we keep our commitment through growing financial results, executed projects that increase our base of assets and revenue, and continuous search of new awards from bids.
We highlight that we have 36 projects under construction, which at the end of their constructive stage, add up to COP 1.7 billion to our annual revenue. During 2023, we were awarded contracts that will represent investments of COP 9.8 billion in next years, consolidating this way a sustained growth path in our business and geographies, and determinedly advancing in the goals set forth in ISA 2030 strategy. Also, if we add to this figure the award of the road concession in Panamericana Oeste in Panama, this figure would increase to COP 11 billion. Our ROAE at the end of 2023 remains at a healthy level of 14.4%, and the net profit, which reached COP 2.5 billion.
Within the second dimension, which is creating a positive social and environmental impact, we proudly would like to highlight that we are one of the best companies in the energy sector according to the Dow Jones Sustainability Index. In addition, ISA was awarded by ALAS20 Colombia 2023, and the company leader in relations with investors. This is the highest category that any company could aspire to when it comes to ALAS20. In addition, ISA was third as the company leader in sustainability. This acknowledgment ratifies the good corporate governance that we have transparency and sustainability at ISA. Lastly, in the dimension of ensuring corporate prevalence or validity, we keep using innovation technology for more flexible and safe energy transition, and as leverage for growth.
An example, we are currently implementing two projects which are part of the SmartValve technology, solutions that improve the distribution of power transfer and the operation of the network. Of the investments committed, which are pending to execute, 2023 ends with COP 29.9 billion. In short, on this slide, you can see that at ISA, we are committed to create value for shareholders through sound financial results to execute our ISA 2030 strategy. Next slide, please. In 2023, ISA invested a total of COP 4.6 billion. The execution of the investment in the last quarter of the year was aligned with the execution of the prior quarters, that is COP 1.1 billion. Projects underway will give way to non-conventional renewable energies and will enhance the transmission network. The CapEx executed in the fourth quarter was distributed as follows: 82% in power transmission, 16% in roads, and 2% in telecommunications.
Colombia received 25% of total investment, advancing the construction of expansion projects, connections, expansions, and bilateral business. Brazil instead received 39% of the investment, with a wide portfolio of reinforcements and improvements and the advancement of energy transmission projects. During the fourth quarter of 2023, two expansion projects were commissioned in Brazil. In Chile, this country received 20% of the CapEx in energy transmission and road infrastructure. In energy transmission, we increased capacity, expanded the network, built a substation, and in the Kimal-Lagunas project, which is 100% of ISA, and Kimal-Lo Aguirre, which is 33% of ISA. In terms of roads, we are still building Rutas del Loa and several improvement and road security works at Ruta de la Araucanía and Ruta de los Ríos. Peru received 16% of the investments, ending the construction of three energy projects, which began to generate new revenue.
We continue working with the construction of 36 power transmission projects and two of roads, which is made by companies in which ISA has control. These projects will represent more than 5,500 kilometers of transmission lines and the interventions of more than 161 km of roads. Next slide, please. Thank you. During the fourth quarter of 2023, we have new victories in our growth process, ending the year in terms of the value of the projects we won. In electrical power transmission, we won the bid in Peru to build, operate, and maintain Totosep. That is more than 1,000 km of transmission lines of 500 kW, which benefits more than millions of Peruvians. This has to do with $833 million for CapEx, and once in operation, will represent annual revenue of $83.5 million.
The execution and financing of this project will be made through Consorcio Eléctrico Yapay S.A., owned 50% by ISA and 50% by the Grupo Energía Bogotá. Since this is a joint corporation, the financial results of Yapay will be known on the financial statements of ISA, consolidated using the equity method. In Brazil, ISA CTEEP was awarded 40 expansions, which will add a CapEx of BRL 229 million, about COP 181,000 million. In addition, in Colombia, ISA entered an agreement with Ecopetrol to execute the Respaldo de Demanda Vicepresidencia Regional Orinoquía project. In terms of roads, ISA Intervial presented the best bid for the concession Orbital Sur Santiago in Chile to design, build, and operate 25 kM of a new urban road. The CapEx of reference, estimated by the Ministry of Public Works of Chile, adds up to $500 million.
At ISA, we continue expanding our business with the arrival of new projects in our investments portfolio. Soon, we will be looking at growth opportunities in the region. Next slide, please. In the fourth quarter of 2023, the balance of our committed investments, which are pending to execute, increased to COP 1.8 billion compared to the end of the third quarter of 2023. The variation is mainly because of the execution of COP 1.1 billion and new awards which arise to COP 2.9 billion. This is a note. If you include Panamericana, which was awarded January 24, the amount of new investments bid would rise to COP 4.1 billion. The net of the wins and the execution of CapEx of the fourth quarter of 2023, the balance of committed investments pending to execute ends 2023 with a very good figure of COP 29.9 billion.
Here on this slide, on the bars in the middle, you can see the composition of this figure as follows. COP 23.9 billion between bids and awards, which add to COP 19 billion. Reinforcements and improvements of CTEEP of COP 3.3 billion, and contributions of capital for corporations that are in charge of Kimal-Lo Aguirre and Totosep of COP 1.6 billion. In projections, we have COP 3.9 billion in reinforcements and improvements pending of approval from the regulator, especially in Brazil, and COP 2.1 billion to maintain the network and optimize assets. On the right-hand side of the slide, on the orange bars, you can see the estimated execution of these investments until 2030. On average, we have an annual CapEx execution of COP 5 billion from 2024 to 2030. Next slide, please.
During the fourth quarter, we completed the construction of six projects and 26 reinforcements to enhance the energy matrix in the region. In Colombia, we commissioned the connection of substation Sabanalarga of 500 kW of the solar park Guayepo I and II, which is currently in construction. In Brazil, we have the commercial operation of 26 reinforcements and projects Triângulo Mineiro and Itaúnas. Remember that last project, Itaúnas, entered a partial commercial operation in March 2023. Lastly, in Peru, we have in operation the substations Chincha Nueva and Nazca Nueva, and reinforcement two, which is the expansion of Planicies substation. These projects together contribute more than 250 km of circuit to the transmission network and will generate annual revenue for more than COP 120,000 million.
We would like to highlight that the commission of Sabanalarga in Colombia and Triângulo Mineiro in Brazil will give way to non-conventional renewable energy sources to the network. Next slide. In Latin America, we see great opportunities of investment that rise to $11 billion in the next 12 months, of which 66% correspond to the energy transmission business, while 34% to the road infrastructure business. In Colombia, we see opportunities in the bids of the UPME for an investment of about $380 million. Also bids in road projects from ANI, which is the National Agency of Infrastructure, for an investment of $2 billion. With the recent entrance of ISA to the road business in Panama, we have found opportunities in road project bids, like the revamping the Panamericana Oeste Road and the fourth transmission line in Panama. In Brazil, there are business opportunities promoted by ANEEL valued at about $3 billion.
On the other hand, Chile has great opportunities in energy transmission, with bids to store energy in the north to build substations and several expansion works. In addition, Chile has a wide portfolio of opportunities in the roads business, with an estimated investment of $3.7 billion. In Peru, the portfolio of energy transmission opportunities for 2024 is about $700 million in investment. Now let's look at the next slide, please, to hear Daniel Isaza with the financial results of the quarter and the section of the operating report of the adjusted EBITDA.
Thank you, Gabriel, and good morning to everyone. I'd love to say hello to all of you again for this fourth quarter of 2023 results. Next slide, please. 2023 displayed growths that were quite positive and historic, with growths in the main items. Revenue, operating revenue, we reached COP 14.2 billion.
This is an increase of 6% compared to 2022. In EBITDA, we ended with COP 9 billion, also up 6%. In net profit, COP 2.5 billion, 12% more than in 2022, and within a range that we talked about in the shareholders meeting in 2022, to be in 2023 with a net profit that was above. The ROAE is at 13.8% above 2022. In terms of operating margins, the EBITDA remains at 64%, and net margin increased 1 percentage point, ending at 17%. All these figures showing very positive growths. Next slide, please.
Here, what you see and that we saw with the update of the last quarter of 2023, you can see that there's an important sign that we've been discussing, and it's the relation between the variations in the exchange rates and the results of ISA, which is so diversified in the region and is exposed to several currencies in its balance sheet. The most relevant are the dollar. Remember, we have revenues in dollars in Peru. We have revenue in dollars also in Colombia and in Chile in the transmission business. There's exposure also to the Brazilian real when we consolidate the figures of CTEEP. I think what's interesting about this slide is to look at both graphs together and look at the profile of the revenue that's growing in the first quarter of 2022 until the first quarter of 2023.
You can also see that due to the devaluation of the peso in that period, when we have currencies like the real, the dollar, and the Chilean pesos, we can see more pesos for every real and dollar and Chilean peso. That devaluation reverts at the end of the first quarter of 2023, and a bit more in the second one, and you can see a revaluation of the peso. As we start to see the revaluation of the peso, the revenue of the second and third quarter drop, and they're really linked to this topic. In the fourth quarter, with more stable exchange rates, we see an increase, and this increase reflects more the nominal increases of the functional currencies that we use outside of Colombia.
This is a story that is present in the last eight quarters, and you can clearly see the effect of this topic on the quarterly results of ISA. Next slide, please. Here, on the top, we see revenue of 2023 of the 12 months per business. It is power transmission, roads, and telecom, and both on the bottom and on the top. Operating revenue grew 6%, and per business, it means 9% in power transmission, our main business, a decrease of 4% in roads, and a decrease of 2% in telecommunications. Of what is happening in the financial sheets of roads, we have talked about a lot in our teleconferences. We have to keep in mind that what you are seeing here is a reflection in part of the accounting model that we are using now, which is of the financial asset.
Under this model, what you can see through the balance sheets is the financial yields. When we have concessions that are about to end, like El Bosque, which was completed, and in 2026, Ríos and Araucanía will end. There is a base of financial asset and, of course, a lower yield, and that is the effect that you see there. Also, there is an effect from monetary correction, in which in 2022, there were big inflations with more monetary corrections on the financial asset, and that means a revenue on the balance sheet, and this situation is less important in 2023. When you compare the bases in terms of monetary correction, you can see a decrease in revenue in 2023. Ahead, when it comes to the operating report of the adjusted EBITDA, I will discuss this a bit more.
Here you will see how we do not follow the parameters of the financial asset, but instead of more of the cash flow. You can see how you can interestingly compare the IFRS financial deal and really understand what is happening with the cash flow generated with roads, with tolls, and everything that has to do with our roads. Next slide, please. Here, and keeping in mind our backlog, our committed investments pending to execute. Here you can see that we have had a long path of victories that have led to a significant number of investments committed, pending to execute. It is important for the market to keep in mind that we have the balance to face this challenge. The debt balance by the end of December 2023 is of COP 34 billion. Here you can see two things.
Although there are increases in our platforms in the regions, in local currency, and in Colombia with an increase of COP 1.5 billion, when you look at the revaluation of the peso in 2023, the debts that we have in currencies other than pesos are charged on our balance sheet, and that is why there is a reduction of COP 31 billion. When it comes to the leverage, remember that the limit of the risk raters or rating firms, which is 4.5, we are ending at 4.4, so we are very well when it comes to the recommendations of the investment degree.
That gives us the flexibility and the balance to face the growth that is coming, which, as Gabriel said, will make us make investments of COP 5 billion in a year. Next slide, please. Okay, here you can see the historic dividends of ISA. It is expressed in pesos per share.
We are pleased to talk with the market and report to everyone that the Board of Directors of ISA will recommend to the General Shareholders Meeting in March to pay an ordinary dividend of COP 1,110 per share. This amount multiplied by outstanding shares is equivalent. It is 50% of the net profits of 2023. When you look at a long period, the performance of ISA's dividends, there is a constant growth of 5%, in five years, of 15%. In 2023, there was a decrease because of what the board decided regarding the cash flow, which was quite flexible, and that was related to refinancing the debt of Interchile, which moves from construction to the operation stage.
We refinanced our debt in banks to 35 years, which not only pays the debt, but also allows us to have an additional cash flow, which is like a return of the capital invested. The money we had in Chile is the one that really sustained payment of the special dividend in 2023. After the situation was normalized, in 2024, we are providing a dividend that is at the top of the policies, which is 40%-50% of the dividend that is ordinary. The consideration for 2024 to make this recommendation keeps in mind the discipline to keep the cash flow and the policy to assign capital to have the flexibility required to face the challenges that are ahead. This ordinary dividend will be paid in three allotments in May, July, and December this year. Next slide, please.
Okay, in this section, before the closing remarks given by Gabriel, I would like to talk to you about the adjusted EBITDA operational report. This report is published in the quarterly results report, and it has been prepared during part of the year 2023, and that we published mainly to improve and increase the understanding of the company's, of ISA, to our stakeholders. As an introductory remark, I want you to understand that ISA's accounting is prepared in accordance with the IFRS, along with their interpretations issued by the International Accounting Standards Board. This has been in place since 2015. 54% of our assets under IFRS are recognized in the accounting under three models that we need to understand: intangible assets, financial assets, and contractual assets.
Let me mention also that in the report that we publish, there is a technical attachment that refers to the logic that we used for all of these adjustments for this report of the adjusted EBITDA. Also, I would like to add, this report of the adjusted EBITDA is complementary to what IFRS demands. It is interesting, the case of Brazil, where the assets or the concessions are through the contractual asset, and transmission companies report figures under IFRS in a scheme called their regulatory mode. We will be talking about Brazil's assets ahead. Since ISA has assets in Chile and Peru, ISA has been making adjustments throughout the different geographies to provide the market an EBITDA margin that is closer to the operating margin.
Lastly, this report is prepared by the company based on non-GAAP premises detailed in the technical annex, and it was audited by Ernst & Young, which is our auditor, in accordance with the International Standard on Auditing, which is 805. Next. Now let's look at this table, which shows three types of models of accounting of concessions. Here we see several parameters. For instance, with the fixed asset, depending on the duration of the concession, if it's perpetual or finite, you start to see a difference between the accounting models. Those that are perpetual for the transmission in Colombia and Chile are looked at fixed assets. But those in Peru and Brazil, since they are finite, they are accounted differently and more with the financial asset. How they're shown on the financial Report is what you can see in the different balances.
Intangible assets are seen as intangible assets, while the contract assets are more like accounts receivable. As you can see, for the same or very similar businesses, it really depends on the duration of concession, and this gives way to different accounting models. This discussion, as I said before, is important because the concessions using the three models are very relevant in ISA's assets. As of December of 2023, we're talking about total assets of COP 71,000 million, and when it comes to contractual and finite, they're different. Here, you can see COP 38.8 billion. As I said before, in energy transmission, Colombia, Chile, and some concessions in Peru have fixed assets, while those in Peru, Bolivia, and in Italia are intangible assets, and Brazil are contract assets. In roads, ISA Intervial in Chile and Colombia are financial asset, and telecommunications and ICTs are fixed assets.
What we did was to re-express these figures and models, and we made some adjustments to look at the IFRS 16 effect to get the market something much more closer to the market, to the cash flow. Here you can see for the models of IFRS fixed assets, the model remains identical. It remains the same. Here it's the effect of the lessees is withdrawn. The 16 is withdrawn for lessees. For instance, what does this mean? When we think about connections, the connections that we made with private clients, with ports, with network operators, these types of contracts, since they are long-term, they are financial assets, therefore, the revenue from this under the IFRS accounting will be seen in financial yields.
Now to acknowledge this, we receive revenue that is related to our main business, which is to operate and maintain electrical or power assets. So we receive the assets under operating assets. Also, we have an annual amortization of deferred revenue from IRUs, which are agreements of optical fibers made in the past with anticipated payments for a long period under the IFRS 7. But this is seen on the income statement as revenue linearly, but it was received already. So to look at this more as a cash flow, we reduce the revenue, and the same happens with some OPMs, especially the initial ones, which generated an amortization of deferred revenue, which was very different to the cash flow. We withdrew this to show the cash flow on the reports. When it comes to intangible assets, and here it has to do with energy in Peru, with several adjustments.
For instance, we withdrew revenue and construction costs, and you know in ISA, we have main businesses, and also to develop infrastructures. When it comes to intangible assets, what we are doing is developing infrastructures, and we start to see construction costs within costs, and also a revenue, which is theoretical, if you wish, that comes from the construction that is proper for the sector that we are in. So the revenue and the construction costs in the intangible assets are removed or withdrawn, and the construction cost, of course, is still a CapEx within the cash flow. What appears in the net is a construction margin.
Also, the effect of IFRS 16 is withdrawn, and there are other adjustments. For instance, there are two, and you can see them in the report per se, but the provision for major maintenance is withdrawn, and the payment for major maintenance is included.
The major maintenance is more like the financial yield, and they are incorporated as operating revenue, especially what we collect from tolls, while those of the effective assets we have in Brazil. Let me give you another comment. We also remove the preexisting infrastructure payments. This means in Chile, we have contracts that say that payments will be made by the concession during the life of the preexisting infrastructure. In the financial models, at the beginning, when we have a contract like this, we have that obligation, and we can collect the money from tolls. This becomes a financial asset, and then the present net value. While in liabilities, we look at the obligation of those payments. When you start to receive the money from tolls, all this happens on the balance sheet, but you do not see it on the income statement.
What we do is eliminate those items and place an operating cost or expense for infrastructure. This is the type of adjustment that we have made, and they are aimed to have a market and our stakeholders to be better informed to complement our IFRS accounting, so everybody can understand ISA better and make, of course, better decisions. Next. Here on the screen, you can see a picture of the report. It is only two pages long, pages six and seven, and here you can see in detail the adjustments of IFRS to reach the adjusted IFRS. Here we go from AOM to adjusted AOM. On the next slide, there are two considerations that I would like to highlight when you compare this with the IFRS results.
To conclude this section of the presentation, what you see here is a comparison of IFRS indicators 2022, 2023, the first two columns, versus the adjusted income statement of both years as well. If you look at operating revenue, the variation from 2023- 2022 is 6%, as we said early on. But when you look at the adjusted, the increase really is of 19%. These are figures that are lower, and mainly, the AOM does not include construction costs, which, as I said before, this is withdrawn and also the construction margin in this adjusted part is removed. When it comes to AOM, the increase is similar. The figures are different because of the adjustments made, because we reclassified things differently to the models of the contract and intangible assets.
The increase from 2022- 2023 is 18%, and it is IFRS and also, as you can see, with the adjusted. What does this lead to? When it comes to the EBITDA, now we are looking at the operating EBITDA or the EBITDA. Although the increase in IFRS is 6% from 2023- 2022, the adjusted is 21% from 2022- 2023. This figure is lower than the IFRS. The adjusted EBITDA is 7.5, and it is approximately 96% of the EBITDA IFRS. As I said, it is just a complementary figure. Both models or both ways of looking at the figures tell an important story. The IFRS figures are very important for many things, but the adjusted are as well.
I think that these will help the market to make a more precise follow-up of topics that are relevant and that can be followed up in these businesses of infrastructure, like the commissioning of new projects, the expansion of future terms, and of course, everything is related to revenue from concessions. There is a final note that I would like to share with you regarding the growth of our roads business, which are figures of IFRS, which dropped 4%. When you look at the adjusted EBITDA report, you will see that the collection of tolls and the revenue that we place on this adjusted EBITDA, after withdrawing the financial yield, does not decrease, but instead increases 33%. Why? The reason is really interesting.
What we collected from tolls in Chile, although there is a reduction in the volume of vehicles that go through the tolls, there are significant increases in the rate. So the revenue in Chilean pesos slightly increased. Also, there are payments made by Ministry of Public Works related to complementary works in which the Ministry of Public Works of Chile, and we received from there COP 119 billion related to advanced payments when it comes to the projects of Río Araucanía and Loa. In Colombia, we received an award above COP 163 million, and we also received a differential in collection of more than COP 100 billion. So that allows me to underline the importance of providing the measure both under the IFRS and the adjusted. You can see how much better this provides information regarding concessions.
The story of the adjusted, when you look at the generation of cash flow in businesses, it is very robust, up 33%. With this, I end this section. We are very pleased to have this Q&A session, and we are here in the team at your service to better explain this tool and to turn it into something powerful to benefit and to better understand our business.
Thank you. Thank you, Daniel. Now, let us have some closing remarks before we begin the Q&A session. In 2023, as you have seen, we continued our growth path with increases in operating revenue, in the EBITDA, in net profit, net margin, and equity returns. Committed to the growth and corporate validity, we added COP 9.8 billion in new investments awarded in 2023. Also, keeping in mind that if we add Panamericana Oeste in Panama, we are talking about COP 11 billion.
Committed investments pending to execute end the year in COP 29.9 billion. We have a sound balance sheet, which gives us the financial flexibility to leverage growth. Our gross debt over EBITDA indicator closes 2023 at 3.4x . Lastly, the growth of our financial results and the sound position of our balance allow our Board of Directors to recommend to the General Shareholders Meeting that will be held on March 21st, a distribution of dividends of COP 1,110 per share, equivalent to COP 1.2 billion and 50% of the net profit observed in 2023. Thank you all. Now let's begin the Q&A session.
Thank you, Gabriel. Now let's open this Q&A session. We have received several questions from analysts and investors. Let's begin the first question from Florencia, who asks, Hello, do you have a comment on your proposal of the reform of public utilities made by President Petro?
Hello, Florencia. Thank you for your question. We begin by thinking that we have a positive legal framework. These laws have been issued 30 years now, and they have been great for the sector. Still, we are aware that we need to think in a regulation that includes the developments and challenges of energy transitions. We are aware of this new law or this reform of public utilities, and we understand that we have to review it closely. We do not know the official text, but we've been working among guilds to contribute to build a public policy that promotes improvements. Florencia, we are keeping a close look at what's happening with regards to this law.
Thank you, Gabriel. Next question from Florencia. Could you please provide an update on Yana Peru and Kimal-Lo Aguirre?
Yes. I can reply that, Florencia, everyone. The Yana project, to give you a background, remember this project was part of a large project which was called Yana Project. They're really two projects. Coya was inaugurated this past October 19th, and the Yana project, on December 2023, we completed the technical information of the major ports to the Peruvian authorities. We've held meetings with these authorities to give them more context, and we've seen them very receptive. We had to change the location of the Yana substation because of a deep geological failure. Right now, we are advancing on the environmental impact and new designs. Our expectation, Florencia and everyone, is that the project will be commissioned in 2027, given the need of having the permits required to make this project.
This is just about Yana. When it comes to Chile or Kimal-Lo Aguirre, which is of direct current in Chile, let me tell you that we began the environmental impact study. According to the licensing phase, we are answering several comments made by stakeholders. We are making the contract things and the designs now. We're meeting the timetable, and there is no surprise so far. Thank you, Florencia, for your questions.
Thank you, Gabriel and Florencia, for your questions. Next question from Ricardo. He wants to know if from now on, we will have the calculation of every quarter with this adjusted EBITDA. Will it be included?
Yes. Thank you, Ricardo. Indeed, that's our commitment. In every quarter, we will provide the adjusted EBITDA report, and it will be revised by Ernst & Young every quarter, which is our external auditor. The market can make a quarterly follow-up of our figures under this methodology. That is the purpose. Indeed, yes.
Thank you, Daniel. Next question from Andrés Duarte. He asks, what do you expect to grow into different countries in 2024 in terms of CapEx?
Thank you, Andrés, for your question. Indeed, in 2024, we project a CapEx of COP 6.5 billion. This is compared with the COP 4.6 billion that we executed in 2023. In that execution, the CapEx, there is an amount that is most relevant of more than COP 3 billion in Brazil. Remember, in Brazil, we have had major wins. The execution will double almost compared to 2023. Also, we have a big execution in Colombia of about COP 1.6 billion, and in Chile, of COP 1.1 billion. These are the most relevant figures. In Peru, although we won Toquiche Chepe, the investments are ahead. Also, ending the Yana Project in Peru, we will be investing less than COP 900 billion in 2024.
Perfect, Daniel. Thank you so much. Now, give us a second. We are trying to look at other questions so we can read the next ones. Please give us a second. Thank you for waiting. Let us continue with another question from Andrés Duarte. He needs to understand better the ISA debt because the contractual escalators increased and decreased.
Hello, Andrés, and thank you for your question. Firstly, we have to think about the balance of the debt which dropped, and this has to do with the exchange rate. Since there was a peso revaluation, the balance of the debt dropped to COP 31 billion. Now, of that debt, and looking at the contractual escalators and the natural coverage or hedge that we have in ISA.
In the income statement, we always say how much of the debt is in fixed rate or in variable rate. In fixed rate are international bonds in geographies where we have revenue in dollars, where there is a hedge of the currency between the revenue and the cost of the debt or the currency of the debt. There is a natural hedge between revenue and expenses. 53% of the debt is variable, but most of the debt that is variable of ISA is an indicator that follows changes as to prices. It could be the IPCA in Brazil or that of Colombia. It could be the UF in Chile. In the countries where we take a debt, which has a variable component, these indicators that follow the movement of prices revenue also has an escalator of the movement of prices.
When you have a debt, a variable rate, there is a natural hedge between revenue and the financial cost of the debt. This is really the effect of the escalators in revenue and debt, and they determine somehow the strategy to finance that tries to have a natural coverage or hedge according to the revenue that we receive. But when it comes to the debt with variable debts, the variable component really tries to look at the escalator in revenue.
Perfect, Daniel. Thank you. We have another question from Patricia. Could you please—you talk about a technical attachment. Is it the last one that you provided on Friday? she asked.
Yes, Patricia. The technical report appears on the income statement that we published on Friday, and indeed, it is after table 11.
It is a report that is four pages, and it gives you a summary of the logic that is followed to make these adjustments and to incorporate accounts for the adjusted EBITDA. Of course, this is not intended to be a comprehensive report of the technique used. That is why our investor relations team and the accounting team and myself are more than willing to provide you more information and teach you about this, so this can become a tool that will allow you to understand ISA better and to transfer simpler messages to the market depending on the drivers of the financial results of ISA. Thank you.
Thank you, Daniel. We have a last question from Andrés Duarte from Corficolombiana. His question is, what about the vertical integration of Ecopetrol? Will this affect ISA?
Andrés, thank you for your question.
Well, the vertical integration will allow ISA to give more contribution in the energy transition. When it comes to what ISA does, in addition to power transmission, is something good, and we have to look at this way. Let me say this, the vertical integration is not something new for the electrical sector. In Colombia, we have more than five companies vertically integrated that participate in every activity of the sector, and they existed before the laws that regulate 142 and 143 of 1994. These laws allowed, since then, to conserve that condition during the almost 30 years since they were enacted. Of the existing companies before these two laws, only ISA cannot do so because of a legal restriction enacted 30 years ago. 30 years ago, of course, we did not look at the challenges that we have today in the sector for the energy transition.
It is a prohibition that makes no sense now regarding the new challenges of the sector. Although the investment portfolio of ISA in the next five years focuses 70% or more in power transmission, we have to look at other core capabilities. What are we talking about? Several things, including storage of power and batteries, contribution for distributed power transmission, those that are interconnected, where we can provide solutions for communities and territories. Andrés and everyone, we believe that it is quite positive to have on ISA that vertical integration. Thank you, Andrés, for your question.
Thank you, Gabriel, for your answer. Now we have a last question from Ricardo, who asked details of the increases of AOMs in Colombia.
Ricardo, thank you for your question. Indeed, there are increases of AOMs in Colombia, and they are quite relevant in 2023.
I refer to the figure, the global figure, the complete figure, which under IFRS and under the EBITDA adjusted, is of 18%. This figure, when you look at it, only under IFRS, it seems very separate from the increase of the operating revenue. Again, really what is happening with those operating revenues is that it has to do really with the accounting model of the intangible asset. I think that is why we are using the adjusted EBITDA, because when you look at the cash flow revenue, what you look at 2023 and compare to 2022, there is a 19% increase. It is a double-digit increase above the increase of the AOM. I mention this and I begin with this because evidently, from financial planning, we procure to protect the operating margins. While the cost grows below the revenue, we are protecting our operating margins.
Something else that is important to keep in mind is that since this company prepares for a historical investment period, as we said before, of about COP 5 billion a year, but even more in the next two years, the company has to prepare and strengthen for what is to come. It is not only increases in Colombia related to inflation, which in 2022 was 13%, but also there is an increase of people. The company is preparing for a strong execution. You can say that there is a moment from the time when the company will prepare to execute the investments and the time when the revenue of those investments enters, but the logical sequence in which you have a company of infrastructure like ours that invests in projects that take five years is something worth looking at. Thank you.
Okay, Daniel, thank you. With this answer, we end our Q&A session and our teleconference. If we receive more questions, we will be answering them by email. Thank you all so much for joining us today, and we will see you next quarter. Thank you.