Among all the cities in historic Palestine, Jerusalem possesses a special political, economic and religious status for people around the world, especially its residents. Such importance has however brought political conflicts between its inhabitants which are adversely reflected on the living conditions and the environment of Jerusalem. The paper discusses the current situation in Jerusalem, in addition to infrastructure and services that include: waste water disposal, solid waste disposal, medical waste, health services, fire fighting services, and water networks. It also talks about land use and town planning scheme for Jerusalem, and its forests.