Abstract:Demand response trading not only promotes the balance between electricity supply and demand, but also has the potential to re?duce carbon emissions. The carbon emission reduction potential of ALs participating in DR trading is explored. Therefore, the economicbenefits of ALs’participation in DR trading should be accompanied by carbon emission reduction benefits. Firstly, considering the role ofALs in reducing carbon emissions, a dual incentive type of demand response model based on response volume and carbon emission reduc?tion is proposed. Secondly, based on the proposed dual incentive type of demand response model, a platform-led demand response tradingmodel is proposed to account for carbon trading. Then, the fuzzy decision-making method is used to solve the Pareto optimal solution of theproposed multi-objective model in the solution set space. Finally, the carbon reduction effects of five types of ALs, industrial customers,commercial customers, residential customers, electric vehicle charging zones, and 5G base stations, are investigated on the improved IEEE30-node system to verify the effectiveness of the proposed model.