_Electric Power_—Because of the unfavorable coal situation, South Korea is at the mercy of North Korea with respect to electric power because virtually all of the large hydroelectric installations are in North Korea. In 1945 there was a total of 1,240,000 kilowatts of installed capacity, 90 per cent of it hydroelectric and in North Korea. Some of the capacity in North Korea has been removed by the Russians. At the present time South Korea depends on North Korea sources for 75 per cent of its power requirements in the winter months when stream flow for its hydroelectric plants is low, and 50 per cent to 60 per cent during the rainy summer months. Conditions will be critical during the coming winter. Minimum peak requirements are estimated at 200,000 kilowatts and only 110,000 kilowatts are in sight including the area’s own generating capacity of 60,000 kilowatts—and that only if rehabilitation materials are received—plus 50,000 kilowatts from North Korea, which is all the Russians profess to be able to deliver. If North Korea power were cut off, all industrial production in South Korea would have to be suspended, and remaining locally generated energy rationed for military and emergency use. Any new plants to correct this deficiency or permit any revival of industry would require four to five years to complete, and would still be dependent upon imported coal or oil, or upon a considerable expansion of the low quality anthracite production. There is no reasonable solution to this dilemma other than to unite North and South Korea. _Forestry_—The forest situation in South Korea is unfavorable. Before the war, effective programs of reforestation and erosion control were under way, but dining the war the annual cut averaged 168 million cubic feet as compared with annual estimated growth of only 113 million cubic feet. Furthermore, over two-thirds of South Korean requirements of lumber, fuel wood, and pulp were formerly supplied by North Korea. With this source cut off and coal imports and production drastically reduced, hills and mountains around the Urge cities have been literally denuded. Unless North and South Korea are united or substantial imports are provided, the needs of South Korea for fuel wood, lumber, railroad ties, and telephone and telegraph poles, make it inevitable that overcutting and denuding of forest land in South Korea will continue, with resulting increased erosion and flood damage to agricultural land.