During the Japanese rule period, most of the electricity supply in western Taiwan was under control of the state-policy company, Taiwan Power Company. Differs from that, private ownership of electricity supply was common in eastern Taiwan. At the same time, either Taitung or Hualien had its own electricity supply. Hualien Harbor was finished in 1938, Eastern Taiwan Power Company was founded next year. This new company aimed to develop industrialization of Hualien, Taitung's development was backward since then. However, the development of electricity supply in eastern Taiwan was still inf1uenced by the whole island. Electricity supply in western Taiwan was merged in 1920 and 1940. At the former period, Taitung Light Company was merged to a Tauyuan company. At the second period, Taiwan Power Company merged the electricity supply in western Taiwan, electricity supply in eastern Taiwan was united at the same time for a short period. The Sun-moon Lake electricity supply was established in 1934, it led the electrical chemistry into Kaushong. After then, eastern Taiwan Power Company was founded in 1939. It's a company collaborated by some new-risen Japanese industry related to electrical chemistry, planed to develop large-scale power as the basement of industrialization in eastern Taiwan. The plan Was failed to accomplish, because of a huge typhoon destroyed the electricity supply and Japan's difficult situation at the end of the second world war. The industrialization in eastern Taiwan was started, but it could not be continuous and stopped.