In order to promote the renewable energy accommodation of insular island microgrid and reduce the load peak and off-peak difference. In this paper the islanded microgrid introduced price-based demand response

with minimized the cost of operation and diesel generator output as the objective function

considering the constraints of power balance

unit startup-shutdown and state change of pumped storage. A multi objective optimal operation model for insular island microgrid is established

and solved using crow search algorithm（CSA）. The simulation results show that the introduction of price-based demand response in the insular island microgrid can effectively reduce the load peak and off-peak difference

and the economic benefit is remarkable. Compared with the particle swarm optimization（PSO） algorithm

the crow search algorithm has obvious advantages in the ability of convergence speed and globaloptimization.