another modality is that adopted in cambodia where a consolidated licence provided by the national regulator allows minigrid operators to play a small distribution role in the event of central grid extension by the public utility households with shss may have little incentive to purchase electricity from a minigrid particularly where this also entails a connection charge and this could potentially reduce prospective demand below the minimum efficient scale for investment to be viable planning and coordination are needed between minigrid development and grid extension to ensure appropriate prioritization of investments to avoid deterring potential investors and to allow minigrids to be interconnected andor integrated into an overall grid as appropriate at a later stage in light of the pace of innovation in the energy market this calls for a flexible approach that avoids locking in particular technological solutions that may be inappropriate to the countrys needs in later years