Part of what he said is embodied in what I have already written. But besides sketching the general aims of the Council, Rykov talked of the present economic position of Russia. At the moment Russian industry was in peculiar difficulties owing to the fuel crisis. This was partly due to the fact that the Czechs and the Reactionaries, who had used the Czechs to screen their own organization, had control of the coalfields in the Urals, and partly to the fact that the German occupation of the Ukraine and the activities of Krasnov had cut off Soviet Russia from the Donetz coal basin, which had been a main source of supply, although in the old days Petrograd had also got coal from England. It was now, however, clear that, with a friendly Ukraine, they would have the use of the Donetz basin much sooner than they had expected. The Brest peace and the deprivations it involved had made them consider the position of the industrial districts from a new standpoint, and they were determined to make Petrograd and Moscow as far as possible independent of all fuel which had to be brought from a distance. He referred to the works in progress for utilizing water power to provide electrical energy for the Petrograd factories, and said that similar electrification, on a basis of turf fuel, is planned for Moscow. I asked how they were going to get the machines. He said that of course they would prefer to buy them abroad, but that, though this was impossible, the work would not be delayed on that account, since they could make a start with the machines they had. Turbines for the Petrograd works they still hoped to obtain from abroad when peace had been arranged. If the worst came to the worst he thought they could make their own. "That is one unexpected result of Russia's long isolation. Her dependence on imports from abroad is lessening." He gave an example in salt, the urgent need of which has led to the opening of a new industry, whose resources are such as to enable Russia not only to supply herself with salt, but the rest of the world as well if need should be. I asked what were their immediate plans with regard to the electrification of Moscow. He said that there was no water power near Moscow but big turf deposits which would be used as fuel. In order not to interfere with the actual lighting of the town from the power-station already in existence, they are taking the electric plant from the Provodnik works, which will supply enough electricity for the lighting of the town. As soon as that is set up and working, they will use it for the immediate needs of Moscow, and set about transferring the existing power-station to the new situation near the turf beds. In this way they hope to carry out the change from coal to turf without interfering with the ordinary life of the town. Eventually when things settle down they will get a larger plant.