This paper examines the impact of green finance and environmental regulation on carbon emissions in China, using panel data from 30 provinces (excluding Tibet, Hong Kong, Macau, and Taiwan) from 2004 to 2021. The study employs the entropy weight method to calculate the development level of green finance and uses mathematical statistical models to verify the impact of green finance and its sub-dimensions on carbon emissions, as well as the regulatory effect of heterogeneous environmental regulation tools. **Key Findings:** 1. **Development of Green Finance:** The development of green finance has a significant inhibitory effect on carbon emissions, with a time lag effect. This effect is more pronounced in green credit. 2. **Heterogeneous Environmental Regulation:** Command-controlled and public participation environmental regulation tools play a positive regulatory role in the transmission path of green finance's impact on carbon emissions, while market-driven environmental regulation tools do not effectively enhance the carbon emission reduction effect of green finance. 3. **Regional Differences:** The carbon emission reduction effect of green finance varies across different regions in China. **Discussion:** The research provides a basis for the government to formulate flexible, accurate, and reasonable green financial policies, helping to strengthen regional cooperation in reducing and fixing carbon emissions, and promoting China's goal of achieving peak carbon dioxide emissions and carbon neutrality. **Keywords:** green finance, heterogeneous environmental regulation, carbon dioxide emissions, regulatory effect, high-quality developmentThis paper examines the impact of green finance and environmental regulation on carbon emissions in China, using panel data from 30 provinces (excluding Tibet, Hong Kong, Macau, and Taiwan) from 2004 to 2021. The study employs the entropy weight method to calculate the development level of green finance and uses mathematical statistical models to verify the impact of green finance and its sub-dimensions on carbon emissions, as well as the regulatory effect of heterogeneous environmental regulation tools. **Key Findings:** 1. **Development of Green Finance:** The development of green finance has a significant inhibitory effect on carbon emissions, with a time lag effect. This effect is more pronounced in green credit. 2. **Heterogeneous Environmental Regulation:** Command-controlled and public participation environmental regulation tools play a positive regulatory role in the transmission path of green finance's impact on carbon emissions, while market-driven environmental regulation tools do not effectively enhance the carbon emission reduction effect of green finance. 3. **Regional Differences:** The carbon emission reduction effect of green finance varies across different regions in China. **Discussion:** The research provides a basis for the government to formulate flexible, accurate, and reasonable green financial policies, helping to strengthen regional cooperation in reducing and fixing carbon emissions, and promoting China's goal of achieving peak carbon dioxide emissions and carbon neutrality. **Keywords:** green finance, heterogeneous environmental regulation, carbon dioxide emissions, regulatory effect, high-quality development