The article explores how environmental rules can encourage companies to develop eco-friendly technologies. It found that these rules can push companies to invest in green innovations. Companies that take responsibility for the environment are more likely to come up with new green technologies. Spending on research and environmental protection can also boost the positive impact of these rules. Providing more information about a company's environmental efforts can further encourage green technology development. However, if environmental goals are too high or if local governments have too much power, environmental rules may not work as well. To improve the effectiveness of these rules, we should improve how we collect environmental taxes, make companies more responsible for the environment, and increase investments in research and environmental protection.