With the growing usage of distributed generation（DG） units， which are invested and established by customer， the conflict between customer invested DG and electric utility distribution company（DISCO） must be studied. This paper deduces DISCO’s possible reaction， which is negative to the utilization of DG， if only the customer’s profit is considered. Then a game model for analyzing the strategic behavior is presented， the annul expenses based utility functions of both sides are also deduced. In order to solve this conflict， based on the market clearing price（MCP）， a profit partition mode is established. Applying this mode into a planning procedure of customer invested DG， the profits of DG and DISCO are determined by the MCP of 1999 in California. The results show that under certain condition， both sides achieve the respective maximum profit and the considerable benefit of DG is also brought to the whole society.