Abstract:Jiaodong peninsula in Shandong province is dry areas. Underground reservoirs are effective countermeasures for promoting water supply capacity and improve ecological environment. In this paper, feasibility of the construction of underground reservoirs, significance of water resources and ecological environment inJiaodong peninsula are analyzed systematically. It is regarded that the construction of underground reservoirs in the area can greatly enhance the storage capacity of water resources, relieve seawater intrusion, and improve the ecological environment. It has gained obvious water resource benefit and environmental benefit.