A rather interesting episode this week. Nunally is officially inaugurated as the Governer of Area 11 and states that she will reenact The Japan Special Zone, which, as viewers of the first season will know, did not end up working so well, due to an unforeseen mishap of sorts.
This big news hits Lelouch hard, and he spends most of the episode in a pretty depressed state, doing things like riding the train over and over again, using his GEASS to screw around with people, and he even goes as far to almost inject himself with some sort of street drug. Rollo eventually manages to snap Lelouch out of his stupor.
Meanwhile, the cargo ship used by the Black Knights is heading out to sea, where it is intercepted by an Imperial fleet, led by Suzaku. He orders the fleet to bombard the ship, and they easily destroy it. However, the BK’s submarine (which was being carried in the cargo ship) escapes into the water. The BK Sub then destroys a massive methane hydrate tank which is located under the water just below the Imperial fleet. This freezes the water around the fleet, effectively immobilizing the fleet. Lelouch then appears as Zero along with Rollo in his Vincent, and declares that the OoTBK will participate in the Japan Special Zone.