Abstract: In high-penetration photovoltaic areas, first, the photovoltaic power generation objective function is determined by improving the hierarchical clustering algorithm, and the total power generation is calculated using the single diode model and array connection method. Then, a two-layer optimization model for energy storage location and capacity is constructed. The upper-level model aims to minimize the comprehensive cost over the entire life cycle, considering constraints such as power transmission, energy storage, and demand response, to plan the location and capacity of distributed photovoltaic and energy storage devices. The lower-level model focuses on system operation control, aiming to minimize operation costs and maximize power supply reliability, considering constraints such as power flow and node voltage, and constructing a comprehensive operation function. Finally, based on this model, the location and capacity configuration of the energy storage system are optimized to achieve efficient configuration and control of the energy storage system. Experimental results show that the designed two-layer optimization model controls the deviation between planned and actual output within ±3%, which is better than the ±12% of the traditional model. At low loads, the highest voltage point drops; at high loads, the voltage at most nodes is higher than that of the traditional model, indicating that this model can improve the overall operational efficiency of the power grid, effectively enhance power quality, and strengthen grid stability.