Abstract:Selecting the relevant data in 30 provinces of China from 1997 to 2011, using dynamic panel model, this paper makes an analysis on the influence of China’s fiscal decentralization and public participation on environmental regulation. The results show that: at present, public participation has an indirect impact on the level of environmental regulation under the case of China’s fiscal decentralization, and its direct impact is not significant. Fiscal decentralization is not conducive to the improvement of the level of local environmental regulations, and the reduction of decentralization is conducive to public participation. Accordingly, it is suggested that the central government should appropriately participate in local environmental management in the process of local decentralization. In the promotion of local officials, the central government should take the public demands for the local environment into consideration. In addition, the government should endow the public with more rights to participate in environmental management, and give full play to public influence on local environmental policy.