Thank you very much for the question.
There's no one recipe that works everywhere unfortunately. The electricity mix and local conditions make for different recipes adapted to different realities, but there are some examples that do stand out. It really depends on what kind of support we're looking at to roll this out. I think the Canadian government supporting innovation is a great one, but creating local conditions to encourage investment in certain fields also goes well.
We'll use the U.S. as an example. You have renewable portfolio standards as more of a state-sized kind of policy, but you still have the income tax credits for renewables that are set up federally. That spurs on investment there.
One of the key examples regarding grid modernization and grid investment that we've seen is pretty much more in Germany, where we have local communities that have invested and are trying a very diverse energy mix to integrate a grid, and that's seen great resources. Now the next move for them is to scale that out and see how that works on a greater regional or even country-wide basis. We see there's a lot of investment going out in these types of projects for remote communities. As an example, that would be a great place for us to start here in Canada, to trial out some of these microgrids of sorts, where we can combine multiple generation sources together.
Then it's about adapting to local realities. In Chile, as an example, interconnection issues and intertie issues have led the government to move away from larger-scale plants, both in renewables and the traditional sense, and to look to what they refer to as PMGDs, which are a smaller-sized generation facilities that interconnect on the node side to bring them closer to consumption centres and then have an impact. They're looking at opportunities to better balance the grid by bringing generation closer to the point of consumption, and that's always something that can be learned from and considered.