Ash has all the Pokémon he's been keeping at Prof. Oak's Lab sent to him for the Silver Conference, Ash's Kingler is injured in an accident and is unable to compete in the tournament, Ash's Squirtle returns to his team, Ash's Phanpy is revealed to know Earthquake and Defense Curl, Ash wins his first preliminary battle against Macy.
The Silver Conference is now underway, with Ash being among the 48 competitors who have made it so far. Now Ash is in a more complex part of the tournament: He and the other 47 competitors will be divided into 16 groups, three trainers for each group and whoever has the most points wins, and points would be distributed by how well a trainer does in the next round of preliminaries, with a win equalling 3 points, a tie equalling one point and a loss equaling no points.
Soon Ash meets his first opponent, a girl named Macy who, after Ash saves, is smitten by him. Will he be able to beat his lovestruck fan of his, and why would Misty be jealous of Macy?
This is the first episode which a Pokémon used the move Earthquake.