Abstract: To improve the operation economic efficiency and acceptance of renewable energy source of the hybrid AC/DC microgrid, it is necessary to configure the battery energy storage system for the distributed generation. In this paper, a mixed integer optimization model is proposed for the hybrid AC/DC microgrid to determine the optimal configuration of generation and storage. In this model, the minimum cost of generation and storage investment as well as the minimum operation cost of power generation and purchase and sale of electricity are taken as the optimized objectives constrained by the dynamic characteristics of generators and storage devices and the power loss through AC/DC converter. The model is solved as a mixed integer optimization based on Benders decomposition algorithm. The case study shows that the optimal configuration of coordinated generation and storage can effectively save the investment cost of AC/DC hybrid microgrid, and verifies the validity of the proposed model.