With increasing global energy demand and increasing energy production from renewable resources, energy storage has been considered crucial in conducting energy management and ensuring the stability and reliability of the power network. By comparing different possible technologies for energy storage, Compressed Air Energy Storage (CAES) is recognized as one of the most effective and economical technologies to conduct long-term, large-scale energy storage. In terms of choosing underground formations for constructing CAES reservoirs, salt rock formations are the most suitable for building caverns to conduct long-term and large-scale energy storage. The existing CAES plants and those under planning have demonstrated the importance of CAES technology development. In both Canada and China, CAES plants are needed to conduct renewable energy storage and electricity management in particular areas. Although further research still needs to be conducted, it is feasible and economical to develop salt caverns for CAES in Canada and China.