Contribution Mr. Alexandre Garcia, Vice President, Regulation Mr. Claudio Brendel, Corporate Finance and Mariana Rocha, Investor Relations Manager. Sir, we will show the slides and then we will begin the Q and A session. Please let's go on to Slide number 3.
Here we have the main highlights. Among the operational items, I'd like to highlight the growth of the markets. We are in a recovery since May 2017 and we closed Q1 with an increase of 3.5% while the increase in the Brazilian market was only 0.4%. In terms of losses, we closed the quarter with 0.4 percentage points below the regulatory limit. In the case of EMT, which is continuing to decline, all we see that in quality, all the concessions are below the Fekwimit in relation to deck.
The highlight is ETO, which reached the lowest historical level and went into the regulatory limit. Among financial highlights, the group closed the quarter with an adjusted EBIT of $783,000,000 and consolidated net profit of 142,000,000 dollars Also subsequent events, we finalized 2 processes. First, the OPA of EMT of fun. I don't know why I didn't come. Good morning, ladies and gentlemen.
Welcome to the conference call of Energies Esa concerning the transmission auction held on June 28, 2018. We inform that all the participants will be in the listen mode only during the presentation of the company. And next, we will begin the Q and A session when more instructions will be supplied. So if you need any assistance during the conference, please request the help of an operator dialing 0. We also inform that this conference call will be in Portuguese by the management of the company and in English through simultaneous translation.
Before proceeding, we would like to clarify that any declarations that may be made during this conference call concerning the business perspectives of the company, future projections and operational goals are based on assumptions of the Board and also information currently available to the company. Such statements speak only as of the date they are made. They involve risks and uncertainties, so thus they relate to important future events and therefore may or may not occur. Investors should understand that general economic conditions, industry conditions and other operational factors may affect the results of the company in the future and may lead to results that will differ materially from those expressed in these considerations about the future. Now I'd like to turn the conference over to Mr.
Mauricio Potillo, who will begin the presentation. Mr. Mauricio, you may proceed. Thank you, operator. Good morning.
I'd like to thank you all for participating in this conference call where we will talk about the transmission auction that happened yesterday on June 28. I have with me Mr. Ricardo Botelho, Chairman of Energiza Group Claudio Brandao, CFO Geraldo Mata, Vice President for Generation and Transmission Gabriel Munci, Director of Transmission and Bruno Alvavinga, Analyst for Investor Relations. I will show a few slides and then we will begin the Q and A session. So please, now going to Slide 3.
When we analyze the lots available in the auction, we tried to study those that would bring operational synergies with our distribution companies, the launch that we won in 2017 and the lots that possibly will be auctioned in future auctions. Also, we analyze lots that would bring an adequate profitability with the company's strategy to grow. The loss that we analyzed were loss number 2, 3, 4, 7, 11, 12, 13, 15, 16 and 19. And we won lot number 19. I would say that we're very competitive.
We negotiated well with our vendors in all the lots on which we bid, reaching thus winning Lot 19 with a return rate adequate and in similar to the previous auction. Here we have the lot won by Energiza, lot number 19. The investment estimated by analysts BRL479 1,000,000 and 4 Seas, the building transmission line partially in double and single circuits and maximum delivery established by Anel is March 2023. Now let's go on to slide number 4. On Slide number 19, we will have to build 139 kilometers of lines.
Now I will talk about some assumptions that we used in order to guarantee an adequate profitability as mentioned before, equivalent to the previous auction. First comment, this lot is a continuation of the Lot 26 that we won last year. The schedule is very appropriate because it allows us to reduce the mobilization time to build and obtain operational synergies that are relevant for us. Additionally, we'd like to stress the experience that we already have with Lot number 26 concerning items as environments, also landowners allowed us to make a good evaluation concerning the execution of the project. Also it's important to mention that in relation to Lot 26, we are already anticipating a schedule that we had planned previously.
Knowledge of local conditions by our team and also IPCs reduces the uncertainties with our knowledge optimizing the time that it will take and the cost for construction. In terms of assumptions for CapEx, we have a reduction around 25%. It's important to mention that contracts signed with the same vendor of Lot number 26, Omexo. And we have the same contractual condition and guarantees. Concerning the delivery, we're considering an optimization in relation to Enel's schedule with a safety margin.
In our modeling, we're working to anticipate by 12 months the construction. Also, I'd like to say that the contract foresees a bonus if we deliver before the scheduled date and total indemnity in the case of delays. So a perfect alignment of interest between EPCS and Energiesa. Now in terms of tax benefits, the CapEx we're foreseeing a benefit from our EIDI rating and also the possibility of being included in a SUTAM project since we're in the north of the country. And for this project, we're using presumed profit that is more advantageous for our company.
Now concerning financing of the project, we will evaluate the issuing of debentures for infrastructure and also access to banks that finance infrastructure. These are alternatives that have already been used by Energizer. Additionally, I would say that we have a consolidated leverage. We're estimating that leverage will be below 3x net debt EBITDA during the construction period of this undertaking for transmission. Now please, I'd like to invite you to go to Slide number 5.
On this slide, we see Energita's position in the segment of transmission after the auction we had yesterday. Now we have 3 assets that represent an estimated CapEx by Arnel, the regulating agency of BRL1.1 billion, we will have BRL3444 MVA of transformation capacity and 571 kilometers of transition lines with 5 100 and 230 kV in double circuit. Now concerning the existing projects, the sharing contracts for infrastructure, the CCIs with the transmission, we are okay. And the developments of the executive project is evolving very well. Now concerning environmental licenses, we are talking to the competent agencies and analyzing the studies.
And all of this has already been done in the state where this lot is present. In terms of the land, the negotiations with the owners affected by the transmission line are in progress and the cases with demands of declaration of public usefulness are all in progress. Everything is going according to plan. Now we'd like to go on to Slide number 6 and we'd like to highlight the expertise of Energiza Solucines, a subsidiary of the Energiza Group, which is responsible for engineering and OEM contracts. Energia Solusoens, it is responsible for building and managing the transmission projects of the Energiza distribution companies.
It works in various fronts in order to expand even more our business. And some highlights. In 2017, the billing of initiatives at Solusoix was BRL212 1,000,000, 5% above 2016. And we'd like to highlight that between 2013 2017, the billing of Energiza Solossoix grew 135%. This subsidiary works in 15 Brazilian States and it also works for large companies, other large companies.
In the last few years, it delivered 1,000 kilometers of transmission lines of up to 230 kV and 60 substations. So I would like to conclude. And now we'd like to begin the Q and A session. So please, operator, we'd like to begin the Q and A session. Thank you.
Now we'd like to begin the Q and A session. So please remove the handset when asking a question. Thus, we will have an Mr. Marcelo Brito would like to ask a question. Hello, Mauricio Ricardo.
Good morning. My question has to do with the necessity for construction. There were 2 lots, the ones that you won and this one. Is there any construction project that must be done by the local Marcelo, Ricardo Botelho, in this case, there is no need that will stop the construction or delay the revenue from this transmission due to works to be done by the distribution company. In the previous auction where we connected in Santa Ana de Araguaia, This one has a connection with 2 of our companies, Energizo Tocantins and Mato Grosso Lot No.
26. They are all in progress under our control and advanced, so there is no interface with the distribution company. Thank you, Ricardo. Our next question comes from Mr. Marcelo Saar.
I have two questions. One concerning the financing. I know that you will use Luka Pecos Midos as your accounting regime and you have a debt in the subsidiary. Is there any way for you to issue a debt through a vehicle for capital? Is there any vehicle that you could include this debt without the distribution and thus get tax benefits.
In fact, Marcelo, There are alternative ways by issuing debentures through the holding company. Thus using this regime accounting regime of the subsidiary too, we can consider this alternative. A question, does the holding have revenue that can be taxed? I understood that these vehicles that you would not be able to issue through the distribution company. So how would you have this benefit for the holding?
Is there any revenue where you are paying interest where you are paying tax, sorry? The holding renders service to the CSC for the subsidiaries. So we have this taxable revenue. Okay. Thank you.
Thank you. It's more clear now. Another question. When you say that you're considering benefits in CapEx, Is this included in the calculation for 25% reduction in CapEx? Yes, it's already included in the calculation.
Thank you. Thank you. Now I'd like to pass the floor to Mr. Mogiju for his concluding comments. Sir, you may proceed with your final comments.
Well, making some final comments. We understand that the favorable results of this auction strengthens the positioning of our Energiza Group in the transmission segment. And we'd like to say once again that we have this strategy to have a good capital allocation. We also believe that the success shown in this turnaround of distribution companies also linked to our experience in the construction of projects in the electrical sector gives us the credibility to execute and operate these undertakings for transmission. I'd like to conclude.
Thank you very much for your for the trust of our analysts and shareholders, and we wish you good afternoon. Thank you. Thank you. Energiza's conference call has concluded. Please disconnect the lines.