Good afternoon, ladies and gentlemen. Welcome to Alupar's earnings calls for Q2 2022. The audio and the slides are being broadcast through the company's IR website. The presentation is also available for download. All participants are in a listen-only mode during the presentation. We will then have a Q&A session. Further instructions will be given then. If you need any assistance, please press star zero. Forecasts about future events are subject to uncertainties. These results may differ from these projections. These projections are based on data currently available. Mr. José Luiz de Godoy Pereira, CFO and IR Director, and Mr. Luiz Coimbra, Alupar's IR Director. Mr. Godoy, you have the floor now.
Good afternoon. Thank you for attending Alupar's earnings call for the second quarter. I'll start talking about the highlights of this period. As we often do, I'll turn over to Luiz Coimbra. He'll be discussing our financial results. We'll then have a Q&A session, and we'll be available to clarify any questions you may have about the company or the industry. Let me now address the highlights for this period. We had our maximum allowed revenue price increase. This is yearly adjusted according to inflation, part of it by the General Market Price Index and part of it by the Extended Consumer Price Index. The IGP-M was 10.72%. The Extended Consumer Price Index was 11.73%. Our allowed revenue for 2021-2022 was BRL 2.876 billion. After that price increase for the 2022-2023 cycle, starting July 2022 through July 2023, that will be BRL 3.121 billion.
That's an increase of our maximum allowed revenue with BRL 245 million a year. There was another important highlight, which was dividends paid as of 2021. These dividends were announced on April 11, 2022. Shares became ex as of the 12th. They'll be paid in 3 tranches. The first was May 31, BRL 0.41 per share. That accounts for BRL 1.23 per unit. The second tranche will be paid on August 31st and the third on November 30th. Another highlight is our effort as far as ESG is concerned, sustainability, governance, etc. That effort has been recognized by the market. We've already published our sustainability report. We've been doing this since 2021. I'm sorry, since 2020. We have updated it as of 2021. Our rating has been improved. That's the MSCI ESG, published by Morgan Stanley. We were awarded B B, and now we are ranked A.
You can see that evolution on the right, from B B to A. We've been doing this since 2018, actually. Just below that chart on the right or the bottom right, that's the number of utilities companies. How many of those companies have been having the A rating? 18% of companies. Companies that have better rating account for 26% A A and 9% with AA A. I'm talking about 35% of better ratings. 65% of companies have a similar rating that we have or below that, our rating. This is something we have been working on for quite some time. We have come a long way, and we hope to get even better scores because this is something that is in the minds of international investors, the market, and all the communities where we operate.
I'll turn over to Luiz Coimbra for our financial results, and I will come back for the questions at the end. Thank you.
Good afternoon, everyone. Thank you for attending our Q2 earnings call. I'm starting on slide six for IFRS numbers. Net revenue was BRL 1,168 million. A decrease, BRL 143 million down in infrastructure revenue because we have two transmission assets being operational, TSM and ESTE. EBITDA was BRL 873 million. The major impacts were a reduction in revenue and transmission segment, I have just explained. A BRL 66 million decrease in infrastructure costs. We have concluded investments because these two transmission operations are now operational. BRL 169 million in the account, other accounts. That was the periodic price increase. Gains or losses must be accounted immediately after ANEEL's resolution is published. That took place on June 21st. Looking at profit now, BRL 180 million. BRL 257 million reduction in our EBITDA. An increase in financial results, BRL 139.8 million. On to regulatory numbers on the next slide.
Net revenue is BRL 701 million, a 21% increase. That variation is driven by that increase of BRL 138 million in the transmission operations, a BRL 67 million increase in TSM and ESTE increases because they have become operational in the period, and a BRL 74 million increase from the maximum allowed revenue increase. 37.06% in contracts based on the General Market Price Index. EBITDA was BRL 395.6 million, a 24.1% increase. The main drivers were an increase in BRL 138 million in revenues, I have just mentioned. An increase of BRL 17.7 million in operational costs. These transmission units, TSM and ESTE , becoming operational and the La Virgen plant in Peru. A reduction in energy purchase, a different strategy to allocate, and a smaller PLD. That was the bottom level, BRL 57 for the quarter. It was BRL 230 in the same period of last year.
We had an increase of BRL 21 million in other expenses, other revenues. This is due to a reduction of other revenue. That fall is explained at the TSM transmission company. The second quarter of last year, we had an extraordinary revenue because we were awarded compensation of our guarantee insurance. It was a non-recurring revenue accounted for in second quarter of 2021. Income was BRL 53 million. The drivers were that increase of BRL 115 million in EBITDA, an increase of BRL 28 million in depreciation. La Virgen and the 2 transmission company, TSM and ESTE , became operational, and we had a BRL 139.7 million increase in financial results. Two drivers here. Number one, the operation ESTE, TSM have become or became operational. Up until then, that financial expense was capitalized, and once it's operational, it becomes a result.
The second and most important driver there is the increase of interest rates overall. IPCA, CDI, TJLP. These three indicators account for 83% of our consolidated debt. On to the next slide. This is the debt of the holding, BRL 665 million. Cash position is BRL 663 million. Net debt is BRL 2 million. The debt is only 70% of the debentures emission, 100% pegged by the CDI. Maturity is 2024, 2025. On to the next slide. This is a consolidated debt chart. It was BRL 10.734 billion. Cash position is BRL 2 billion. Net debt, BRL 8.301 billion. When we look at the structure, the consolidated structure, there haven't been any major changes. Most of our debt, 52%, is pegged to the IPCA, CDI at 29%. In our currency basket, Peru and Colombia account for about 12% of the total debt. On to the next slide.
This is the timeline. It's a very long profile. 36% of our maturity dates are after 2027. The holding has a 7th emission in 2024 and 2025, and transmission and generation assets mature throughout the years based on the expectation of cash generation for each one of them. This is my last slide. This is the Alupar's performance compared to Ibovespa and the Electrical Energy Index. It valued 23.35%, i.e., 9.69% compared to 3.65% of Ibovespa. I usually try to point out the financial volume of our liquidity. Quarter- after- quarter, we have been improving. Accrued for last year, BRL 21.8 million. This year- to- date, we are at BRL 28.2 million, s ubstantial increase there. Well, this concludes my presentation. We can move on to the Q&A session. Thank you.
Thank you. We'll start the Q&A session for investors and analysts. Press star one to ask a question. If your question is answered, you can remove your question from the line pressing star two. Please hold. Andre Sampaio from Santander asks the first question.
I have a couple of questions, actually. My first question is about the auction. Can you please explain how these constructors play out in that auction? I know that your case is different. We've seen companies being very aggressive in bidding in the last auction. Are you following that closely? Has there been a change in industry? This commodity has gone through the operators themselves. Number two, the level of discount we've seen, I have the impression that companies are betting on the falling of the commodity prices even further. Can you elaborate on the partnership with Equatorial Energia in the auction? Are you satisfied with it? Can you elaborate on it, please?
Thank you for your questions. Let me start from the last one. The partnership with Equatorial was very productive, very positive. They think along the same lines as we do. We may even strike other partnerships in the future. Whenever it makes sense and if it adds value to both parties, we can consider it, no problem. As to the EPCistas and commodity prices. Commodity prices are going down. I don't know how much more they will go down. Aluminum is $3,500-$3,600 a ton. It's now at $2,400. We just can't confirm whether they'll go further down. No one can predict it. Placing your bets on that falling even further, that is out of our scope. If I were to place any bets, this has to do with the Treasury Department, with the banks.
We consider effective prices based on the reality of today. We can't predict the future. There are pressures, there are drivers to bring that up or down. Maybe international markets may bring them down, and upward pressures are oil prices. The scenario remains uncertain to make any bets in that regard. As to the EPCistas, I think many companies have had problems. The pandemic hurt them substantially. We have a limited number of options of these companies that render services. We have fewer, or they have fewer and fewer options. Several of these companies contacted the Ministry of Mines and Energy, explaining the hard times they were going through. They were hurt dramatically. Costs may go up in this segment. I've seen many of these companies canceling contracts.
They're not being able to honor their contracts because they're losing a lot of money when compared to the size of those companies. This is a huge question mark. When we implement our projects, we had to replace more than five suppliers because they were not performing appropriately. This is going to hurt projects even further.
Thank you. Carolina Carneiro from Credit Suisse asks the next question.
I have two questions. My first question is about the auction too. Many companies were considering several lots because there was that growth potential. What are you considering as of now, the renewable energy projects, or is there anything else in M&As that you're still considering? My second question is TCE and ELTE. You said that continue that negotiation. But can you elaborate on the status of these two projects, please?
In the case of TCE, the project is currently underway. We have the permit being issued with just one restriction. We have conducted the studies they required. We have already submitted them to the agency, who believe that in 60 days or 90 days at the most, these restrictions will be lifted. The impact is only in 15 towers. It's a minor impact, therefore. As far as new projects, Carolina, will depend on what we find in the marketplace. We're concluding 3 renewable energy projects, 120 MW of installed capacity. We'll be looking at opportunities. There's a lot of transmission projects in the pipeline. I don't know whether companies will be as aggressive as they once were. Companies are not bidding very aggressively in terms of returns. Returns are two-digit. The aggressiveness is in the premises of CapEx and other premises. Anyway, I believe that there are opportunities out there.
We'll keep looking to see whether we can better allocate capital.
Thank you. Henrique Peretti from JP Morgan is next.
I have two questions. We've seen in the CapEx increase in wind and solar. How much more can that variable increase? What would make new projects feasible? My second question about the international arbitrage of TME?
As to generation projects, we've seen higher costs, both for wind and solar projects. In the future, we believe hydraulic projects will be very complicated. It's almost impossible to get a permit for a hydraulic project with the environmental requirements we have today. Anyway, I believe that costs overall are higher. Those that are starting from scratch will have higher costs, and that will reflect on energy prices, ultimately. The market will adjust in that sense. I've heard some companies say, some analysts say too, but in order to make that project feasible. Discarding hydraulic, focusing on renewables, solar and wind, prices should be above BRL 200. It's very unlikely to practice lower prices, but that depends on the generation premises that each one adopts, especially in wind. A bank issued a report lately.
Wind companies are generating below that number because initial predictions were very optimistic. There is some frustration in the industry as a whole as far as generation, as far as physical guarantees that were granted to each one of those. In our case, we fall within the parameters we have used to run our project because we were not that optimistic when compared to other players and the market itself. It's just a matter of time. The market will adjust itself. I think I was clear in my answer, right? The other question is about the arbitration, right? It's at an early stage. The arbitrators have been appointed. Our demands will be presented to them. That from the federal government too. We've been trying to strike a deal with the indigenous community. There are three civil lawsuits, public, trying to cancel our permit, among other things.
What we've been trying to do is to strike a deal with that indigenous community so that everyone walk out of that negotiation positively. We've been scheduling several meetings. A couple of hearings have been conducted with everyone involved. That lawsuit to cancel the permit, and we believe we'll be able to make a deal, and in a relatively short period of time, we'll be able to address that issue and move on.
Let me try to understand that. What if you address the issues with the indigenous communities? The construction could only start after the arbitration process, right?
No, our goal is to start construction immediately as soon as we get the permit. The arbitration discusses the calculation method for that rebalancing. Well, ANEEL granted that economic environmental balance. It is very clear to everyone as to the right of that rebalancing. The methodology hasn't been agreed upon completely. We believe that's not the right methodology to come up with that economic and environmental balancing, not simply by distributing revenues in the remainder of the time. That's exactly what we're discussing in arbitration.
Thank you. To ask a question, please press star one. Please hold. Peterson Silva from Alfa asks the next question:
With the conclusion of the investment cycle, is the company considering buybacks? Why is it that dividends are paid in three tranches? Can you elaborate on that, please?
The buyback, we were concluding this investment cycle. We still have a substantial amount to invest. Between this and next year, we are concluding several projects. They amount to almost BRL 2 billion worth of investments. We haven't finished actually that cycle. The buyback is something we consider, we keep on monitoring, but we have to be very careful. As far as the buyback goes, we have to take into account the liquidity of the shares in the marketplace. This is very important to us. We have been working closely to monitor those issues, and we have had success. Liquidity is up when compared to last year, 21 million a day. This year 28 million a day of liquidity. This is very important to us.
This is going to guide any buyback policy we are to implement in the future. As to the three tranche payment, we make the payments as we have cash availability from the subsidiaries. These are matched. They have their general assemblies. They approve that distribution. Some require additional approval from project finance to distribute more than 25%. That takes some time. In order to adjust that flow, we make those payments in three tranches.
This concludes the Q&A session. I will turn over to Mr. Godoy Pereira for his final remarks.
Once again, thank you for attending. The company and the IR team are available. Don't hesitate to get in touch with us. We are at your service to clarify any questions you may have or listen to your suggestions. Feel free to do so. Have a good day.
Thank you. This concludes Alupar's earnings call. Thank you for attending, and have a great day.