Cambodia, likewise to other developing countries, is facing a twofold problem which can only solved by a compromise: On the one hand, energy demand is rising sharply and increasing electricity production is essential for further economic and social development. On the other hand, impacts by climate change are already visible and the local use of fossil fuels must be reduced in order to avoid graver impacts. An energy transition however is hampered by insufficient regulations. This study, conducted by Enrich Institute for KAS RECAP, assesses the current situation and future implications.