Abstract: According to the special circumstances of the terminal power market in China,the demand response（DR）incentive mechanism is proposed based on the core concept of power credit.With the comprehensive consideration on the influence factors like user type,external environment and the credit grade,the model of power credit considering the consumption,rewards and penalties credits is proposed around with the credit score theory.Operation modes,rewards and penalties mechanism and implementation progress of power credit incentive mechanism are described in detail.A practical example is employed to demonstrate the feasibility and effectiveness of power credit incentive mechanism,which can guarantee the mutual interests for both side,but also to fully mobilize the enthusiasm of the user.The prospect of incentive application in the DR is illustrated finally.