Abstract: The efficiency of carbon emission reduction is to reduce the social abatement cost as much as possible while achieving the carbon emission reduction target. The key to achieving the optimal efficiency is to coordinate the government regulation and market mechanism of carbon emission reduction. As part of the series of papers on the carbon mitigation “Time-Space-Effect-Benefit”(TSEB) coordination theory, this paper constructs the method framework of efficiency overall planning. First, it explains the conceptual connotation of carbon emission reduction efficiency and puts forward the theoretical framework of efficiency overall planning. Then, using the theoretical perspective of new institutional economics, the interaction mechanism and complementary path of market mechanism and government intervention in the process of carbon reduction are systematically analyzed. Combined with the relative slope decision criterion, the C³IAM/EcOp model and CEEPA-ETA-FM model are applied to explore how to optimize the allocation of emission reduction resources under different emission reduction mechanisms, scientifically answer the design question of carbon emission reduction hybrid mechanism, and provide the methodological basis for the coordination of government regulation and market mechanism.