Abstract:The green transformation of enterprises, as an important way for the integration of green economy and real economy, is a key link in achieving high-quality development. This article takes Chinese A-share listed companies from 2007 to 2022 as samples to study the impact of corporate green transformation on audit fees. The research results found that the green transformation of enterprises can reduce audit fees, manifested as the “green governance” effect. Mechanism testing found that the green transformation of enterprises has reduced audit fees by improving internal environmental controls, enhancing the quality of environmental information, and mitigating environmental operational risks. Further research shows that improving green production efficiency and enhancing green governance capabilities can both reduce audit fees. Heterogeneity analysis found that the negative correlation between corporate green transformation and audit fees is more significant in companies with low proportion of green independent directors, poor environmental judicial capabilities in heavily polluting industries and regions. The economic consequences test shows that the green transformation of enterprises will not reduce audit quality after reducing audit fees.