Abstract: The high proportion of renewable energy connected to the power grid brings enormous pressure to the economic operation of peak shaving. To optimize the economic operation, this paper proposes a hierarchical optimization operation model for source-load-storage joint peak shaving which takes into account demand response. First, the fitting degree between the net load optimization curve of demand response and the forecast curve of new energy generation is taken as the upper level objective function, and the minimum total cost of joint peak shaving of each unit is taken as the lower level objective function. Secondly, considering the constraints that affect the safety of system operation and peak shaving and taking the power supply system in a certain area as an example, a comparative analysis is conducted between traditional and power-supply side joint peak shaving schemes. It also considers the optimization results of joint peak shaving after adding demand response on the load side. Finally, through the comparison of simulated data, it is found that the cost of power side joint peak shaving is much lower than that of the traditional. Adding demand response to joint peak shaving can achieve complete consumption of wind and solar power generation. The proposed joint peak shaving scheme can reduce the wind and solar curtailment rate of a high proportion of renewable energy grid connection, and improve the economic efficiency of system operation.