I'm not as alergic to cutscenes as Yahtzee, but I agree that if you can figure out a good way to do it, an in-game story telling method works better. World 0 of Braid comes to mind. I found it a shame that the rest of the story was so utterly incomprehensible without reading in-depth analyses of 100% completionists all over the web, because the impact would have been much greater otherwise.
But I find it funny that Yahtzee underlines the importance of focus in a story (which I agree with), while he still finds Ocarina of Time isn't up to par with Twilight Princess, seeing as my biggest complaint by far of TP is that the story was an unfocussed mess. With the exception of Midna, every character in that game was pretty much superfluous in the grand scheme of things. The kids kick of the plot, then you find them again and they stop mattering untill your sorta-GF spontaneously has a way of recovering her memory when it becomes neccesary for the plot to get you to the sky dungeon. I often had no clue why, storywise, I was fighting in a particular dungeon beyond 'there happens to be a Macguffin in here'. The ice mansion was the worst of the bunch, forcing me to quest through a yeti's house because they forgot where they left the damn mirror piece (which turns out to turn one of them evil which you'd think would be a leadup to something, but it's never mentioned again). The 4 heroes sounded interesting (and I loved the big elf lady that ran their tavern) but in the end all they did was form a living quest marker for your next dungeon. Ocarina of Time had a very simple story, with the dungeons often being temples that wouldn't win any originality rewards, but I always knew why I was going in them. The sages were all well developed (except maybe Impa). And while Zelda wasn't in it much (not in her true shape anyway), it was still much, MUCH more than in Twilight Princess.