1. Introduction
Environmental regulation and green performance are closely linked. This link has been studied for years in environmental economics and sustainability research [
1,
2]. China’s carbon goals and green lab construction make regulation more than just a rule to cut pollution. It now helps organizations to improve green innovation, use resources better, and manage sustainability [
3,
4]. Most studies divide regulation into three types. Command-and-control regulation uses rules like emission limits, permits, and clean production audits to set minimum standards [
1,
5]. Market-incentive regulation uses tools like environmental taxes, green loans, government subsidies, carbon trading, and emission rights trading to make polluters pay or guide green investment [
6,
7]. Public-participation regulation uses media, community input, and stakeholder pressure to shape behavior through social control and reputation [
8,
9]. Green performance has also changed. It used to mean only less pollution and end-of-pipe treatment. Now it includes environmental performance, green process innovation, green management innovation, and green technology innovation [
1,
4].
Green and sustainable construction is now an important part of the construction industry’s low-carbon transition [
10]. It focuses on reducing energy use, material waste, pollution, and environmental impacts during the whole project life cycle. It also pays attention to cleaner construction processes, resource recycling, low-carbon materials, and better use of building systems [
10,
11]. Recent studies have discussed green technology innovation, low-carbon development, ecological efficiency, and sustainable performance in construction and related industries [
10,
12]. These studies show that green construction is not only about reducing emissions during building operation, but also involves material selection, process improvement, waste management, and life-cycle environmental performance [
13]. However, most existing studies still focus on conventional buildings, infrastructure, or general enterprises. Less attention has been paid to specialized facilities such as biosafety laboratories. In these projects, green construction must be achieved together with biosafety control, waste treatment, ventilation safety, and environmental risk management [
14,
15].
Biosafety laboratories, especially BSL-2 and higher-level laboratories, are important facilities for public health, pathogen research, medical testing, and biosecurity control [
14,
16]. However, they are different from general buildings and common research laboratories. High-level biosafety laboratories often have high energy use, high emissions, and high environmental risks [
14,
17]. To keep negative pressure, pressure gradients, high air change rates, HEPA filtration, and strict waste sterilization, BSL facilities use large amounts of energy during operation [
14,
18]. They also produce special waste with biological risks [
15,
16]. Therefore, the green transition of BSL projects is not the same as normal building energy-saving or firm-level emission reduction. It must balance biosafety compliance, infection risk control, safe waste treatment, and better environmental performance [
16,
19]. This special setting makes BSL projects an important but still under-studied case for testing the link between environmental regulation and green performance.
Existing studies on environmental regulation and green performance mainly focus on manufacturing, heavy-polluting industries, the energy sector, and general industrial firms [
2,
4]. These studies show that command-and-control regulation can promote green process innovation through compliance pressure [
5]. Market-incentive regulation can improve resource allocation through price signals [
6,
7]. Public-participation regulation can also support environmental governance through information openness and stakeholder pressure [
8,
9]. However, it is still unclear whether these findings can be directly applied to BSL facilities. BSL facilities are special research facilities. Many of them belong to public research systems or medical testing systems. Their green investment decisions are not fully driven by market prices, profit goals, or competition. Furthermore, the first goal of BSL facilities is biosafety. Any measure for energy saving, resource recycling, or waste reduction must meet safety and compliance requirements [
14,
16]. Therefore, the logic of “regulation–innovation–performance” developed in traditional firm settings may have new limits in the BSL context. Based on this background, this study aims to build a theoretical framework for analyzing environmental regulation and green performance in biosafety laboratories.
Based on the above discussion, this study addresses three research gaps. First, existing studies on environmental regulation and green performance mainly focus on manufacturing firms, heavily polluting industries, and general construction projects, while biosafety laboratory construction projects have received limited attention [
2,
5]. Second, the meaning of green performance in BSL construction has not been sufficiently contextualized, although these projects must balance energy saving, waste treatment, environmental risk control, and biosafety compliance [
14,
19]. Third, little is known about whether different environmental regulation instruments have different effects in this highly regulated and safety-sensitive project context [
3,
20]. Therefore, this study aims to (1) define green performance in the context of BSL construction projects; (2) examine the effects of command-and-control, market-incentive, and public-participation regulation on green process innovation, green management innovation, and environmental performance; and (3) explain why different regulatory tools may produce different outcomes in BSL construction. The novelty of this study lies in extending environmental regulation research to a specialized biosafety infrastructure context and in providing empirical evidence on the differentiated effects of regulatory instruments on multidimensional green performance. The remainder of this paper is organized as follows.
Section 2 and
Section 3 present the theoretical foundation, literature review, and hypotheses;
Section 4 describes the materials and methods;
Section 5 reports the empirical results;
Section 6 discusses the findings; and
Section 7 presents the conclusions, implications, limitations, and future research directions.
4. Materials and Methods
4.1. Research Design
This study used a quantitative research design to examine how different forms of environmental regulation affect green performance in biosafety laboratory (BSL) construction projects. BSL projects have complex requirements. In addition to traditional project goals, such as quality, cost, schedule, and construction safety, they must also meet requirements for biosafety protection, environmental risk control, waste treatment, ventilation and pressure gradient systems, and compliance with strict technical and regulatory standards. This study developed a research framework that links three types of environmental regulation with three dimensions of green performance. Environmental regulation was divided into command-and-control regulation, market-incentive regulation, and public-participation regulation. Green performance was measured through green process innovation, green management innovation, and environmental performance. Empirical data were collected through a questionnaire survey. The proposed hypotheses were then tested using reliability analysis, validity analysis, correlation analysis, structural equation modeling, and supplementary multiple linear regression analysis.
4.2. Questionnaire Design and Variable Measurement
The questionnaire used a five-point Likert scale for all items except demographic and control variables. The response options were: 1 = “strongly disagree”, 2 = “disagree”, 3 = “neutral”, 4 = “agree”, and 5 = “strongly agree”. A higher score means the respondent agreed more with the statement.
The questionnaire had four parts. The first part explained the study’s purpose and academic value. It also stated that the survey was anonymous and that all responses would be used only for research. Key terms were briefly defined at the start to help respondents understand the questions. The second part asked about the respondent’s background and their organization, including education, work experience, firm size, job title, industry type, total assets, location, and past experience with biosafety laboratory construction projects. The third part measured the main variables: environmental regulation and green performance. The fourth part thanked the respondent for their time.
The questionnaire was built in three steps. First, items were taken from existing scales used in studies on environmental regulation, green innovation, green supply chain management, environmental performance, and sustainable performance. Some wording was changed to fit the context of biosafety laboratory construction projects. Second, the draft was reviewed by the project supervisor and an expert group. They gave feedback on the structure, wording, relevance of items, length, and whether the items made sense for BSL projects. Third, a pre-test was carried out at Beijing Shijishengtong Environmental Engineering Technology Co., Ltd., Beijing, China. Fifty questionnaires were given out and all were returned. Based on the feedback and early results, some items on command-and-control regulation and environmental performance were revised to be clearer and more relevant. The final questionnaire was then used for data collection. The data were cleaned and analyzed using SPSS 27.0 and AMOS 26.0.
4.2.1. Measurement of Environmental Regulation
Command-and-control regulation refers to mandatory environmental requirements set by governments or regulatory agencies through laws, regulations, policies, technical standards, monitoring systems, and penalties. This study measured it using five items: the completeness of environmental laws and regulations, the completeness of the policy system, the independence and authority of regulatory agencies, the strictness of emission reduction and technical standards, and the severity of penalties for violations. Market-incentive regulation uses economic tools—such as subsidies, special funds, tax incentives, green credit, and pollution fees—to encourage environmental improvement. During reliability testing, the item on pollution fees was removed because its corrected item-total correlation fell below the acceptable threshold, and Cronbach’s alpha increased after its removal. The final analysis kept five items: pollution control subsidies, clean production funds, environmental governance subsidies, tax incentives, and green credit support. Public-participation regulation refers to pressure and guidance from public oversight, environmental information disclosure, environmental certification, public hearings, participation in environmental impact assessments, voluntary environmental commitments, and green technology adoption. This dimension was measured using five specific items.
The measurement items for environmental regulation are shown in
Table 1.
4.2.2. Measurement of Green Performance
This study used green performance as the dependent variable. Based on previous studies and the features of biosafety laboratory construction projects, green performance was divided into three dimensions: green process innovation, green management innovation, and environmental performance. Green process innovation refers to the use of green materials, equipment, and construction methods during project implementation. Green management innovation refers to improvements in management systems, environmental monitoring systems, process design, and green management practices. Environmental performance refers to the final environmental and biosafety outcomes of the project, including better laboratory safety, higher operating efficiency, stronger protection of staff health, less waste, and lower health risks.
The measurement items for green performance are shown in
Table 2.
4.2.3. Control Variables
Control variables included education level, work experience, firm size, project size, job type, industry type, location, whether the firm had undertaken biosafety laboratory construction projects before, the number of times the respondent had participated in such projects, and the respondent’s level of understanding of biosafety laboratory construction projects.
Work experience was coded as follows: 1 = three years or less, 2 = four to six years, 3 = seven to ten years, and 4 = more than ten years. Firm size was measured by the number of employees: 1 = 1–50 employees, 2 = 50–100 employees, 3 = 100–500 employees, and 4 = more than 500 employees. Project size was measured by total project value: 1 = RMB 2 million or less, 2 = RMB 2–5 million, 3 = RMB 5–10 million, and 4 = more than RMB 10 million. The number of times the respondent had participated in biosafety laboratory construction projects was coded as follows: 1 = no participation, 2 = one to three times, 3 = four to six times, 4 = seven to ten times, and 5 = more than ten times. The level of understanding of biosafety laboratory construction projects was coded as follows: 1 = very familiar, 2 = relatively familiar, 3 = generally familiar, 4 = slightly familiar, and 5 = not familiar at all.
In the supplementary regression analysis, independent-samples t-tests and one-way ANOVA were used to identify control variables that showed significant differences across the dependent variables. The selected control variables were then included in the multiple linear regression models. Categorical variables were transformed into dummy variables before the regression analysis. The results showed that the variance inflation factor values of all variables were below 2.267, which means that multicollinearity was not a serious concern.
Regional regulatory stringency was also considered. However, objective city-level or province-level regulatory stringency indicators were not available for all surveyed organizations. Therefore, location was used as a candidate control variable to reflect regional differences. Future studies could use more detailed regional regulatory data to control this factor more directly.
4.3. Data Collection and Sample Screening
The formal questionnaire survey was conducted from February to December 2024. Data were collected through both online and offline channels. Offline questionnaires were mainly distributed to partner firms and institutions of the author’s company. These included organizations involved in biosafety laboratory design, construction, environmental engineering, medical research, and laboratory operation. Online questionnaires were distributed through Wenjuanxing and Tencent Questionnaire, as well as by email, WeChat links, and online invitations.
The target respondents included employees of firms involved in biosafety laboratory construction projects, users and researchers of biosafety laboratories, employees of firms related to environmental regulation, and professionals from industries such as bioengineering, medicine, medical equipment, construction, energy supply, environmental protection, and research institutions. These respondents were selected because biosafety laboratory construction is a multidisciplinary field. It involves engineering construction, environmental assessment, medical equipment, biosafety standards, and other related areas.
In addition to the questionnaire survey, informal field interviews were conducted with several relevant project participants, including project managers, technical personnel, and laboratory users. These interviews were not used as independent quantitative data, but they helped the authors to better interpret the empirical findings and understand the practical mechanisms behind environmental regulation and green performance in biosafety laboratory construction projects.
A total of 500 questionnaires were distributed and 420 were returned, giving a response rate of 84.0%. After data screening, 372 valid questionnaires were retained, giving a valid response rate of 74.4%. Invalid questionnaires were removed based on the following criteria: questionnaires completed in less than 60 s, questionnaires with the same answer for all scale items, questionnaires with clear patterned responses, and questionnaires submitted by respondents who were not familiar with biosafety laboratory construction projects.
The response rate was calculated as the number of returned questionnaires divided by the number of distributed questionnaires, and the effective response rate was calculated as the number of valid questionnaires divided by the number of distributed questionnaires. The distribution of returned and valid questionnaires is shown in
Table 3.
4.4. Sample Characteristics
The demographic characteristics of the respondents are shown in
Table 4. In terms of education level, most respondents had a bachelor’s degree or higher: 46.77% held a bachelor’s degree, and 33.06% had a postgraduate degree or above. In terms of work experience, 61.0% of the respondents had three years or less of work experience, while 16.9% had more than ten years of work experience. Regarding firm size, most respondents came from small- and medium-sized enterprises. In terms of job type, technicians, junior managers, and senior managers accounted for relatively high proportions. The relative frequencies in
Table 4,
Table 5 and
Table 6 were calculated by dividing the frequency of each category by the total number of valid responses; namely, 372.
The enterprise characteristics are detailed in
Table 5. The main industries represented among the surveyed firms include bioengineering, pharmaceuticals, medical devices, construction, government agencies, non-profit organizations, and research institutions. In terms of total asset scale, the sample covers firms of various sizes—from small to large enterprises. Geographically, the majority of the enterprises are located in Eastern China, followed by those in Central and Western China.
The respondents’ relevance to biosafety laboratory construction projects is shown in
Table 6. Nearly half of the surveyed firms had previously participated in biosafety laboratory construction projects. In addition, 47.6% of the respondents had participated in at least one such project. Regarding project familiarity, 93.0% of the respondents reported having some level of understanding of biosafety laboratory construction projects. This indicates that the sample was highly suitable for the topic of this study.
4.5. Data Analysis Strategy
The data were analyzed using SPSS 27.0 and AMOS 26.0. Before hypothesis testing, the dataset was screened for invalid responses, common method bias, normality, and multicollinearity. Reliability was assessed using Cronbach’s alpha coefficients and corrected item-total correlations. Exploratory factor analysis was conducted using the Kaiser–Meyer–Olkin test and Bartlett’s test of sphericity. Confirmatory factor analysis was then used to evaluate the measurement model, including model fit, standardized factor loadings, composite reliability, and average variance extracted. Pearson correlation analysis was conducted to examine the preliminary associations among the main variables. Structural equation modeling was then used to test the hypothesized relationships among the latent constructs. These methods were used in sequence because the study first needed to verify the reliability and validity of the measurement scales before testing the structural relationships among latent variables. SEM was selected because it can examine multiple relationships among latent constructs simultaneously while accounting for measurement error.
The final sample included 372 valid responses. This sample size was considered adequate for structural equation modeling because it exceeded the commonly recommended minimum sample size of 200 and provided a sufficient number of observations relative to the estimated model parameters. In addition, the number of valid observations was substantially larger than the number of observed measurement items retained in the final measurement model.
Common method bias was assessed using Harman’s single-factor test. All retained measurement items were entered into an unrotated exploratory factor analysis. The first unrotated factor explained 38.7% of the total variance, which was below the commonly used threshold of 50%. This result indicates that common method bias was unlikely to seriously distort the relationships among the main variables.
Before conducting confirmatory factor analysis and structural equation modeling, the distributional characteristics of the retained measurement items were examined. The results did not indicate severe deviation from normality. Therefore, maximum likelihood estimation was used in AMOS 26.0 for both confirmatory factor analysis and structural equation modeling. Model fit was evaluated using multiple fit indices, including χ2/df, RMSEA, GFI, AGFI, CFI, IFI, and TLI.
Finally, because market-incentive regulation was not significant in the structural equation model, supplementary multiple linear regression analysis was conducted to further examine the effects of specific market-incentive instruments. Variance inflation factors were calculated to assess multicollinearity in the regression models. The VIF values of all variables were below 2.267, indicating that multicollinearity was not a serious concern.
5. Results
Before conducting reliability, validity, and hypothesis testing, common method bias was assessed because the core variables were collected through a self-administered questionnaire. Harman’s single-factor test showed that the first unrotated factor explained 38.7% of the total variance, which was below the commonly used threshold of 50%. This indicates that common method bias was unlikely to seriously distort the relationships among the main variables. The research results are presented in the following order: reliability analysis, exploratory factor analysis, confirmatory factor analysis, correlation analysis, structural equation modeling, supplementary regression analysis, and an integrated interpretation of the empirical findings.
5.1. Reliability Analysis
As shown in
Table 7, the overall Cronbach’s alpha coefficient for the environmental regulation scale was 0.912. The alpha values of its three subdimensions all exceeded the commonly accepted threshold of 0.800: 0.839 for command-and-control regulation, 0.820 for market-incentive regulation, and 0.824 for public-participation regulation. The only problematic item was ME6, whose CITC value was only 0.400, below the recommended threshold of 0.500. After deleting this item, the Cronbach’s alpha coefficient of the market-incentive regulation scale increased to 0.829. For the green performance scale, the overall Cronbach’s alpha coefficient reached 0.944, indicating extremely high reliability. The Cronbach’s alpha coefficients for green process innovation, green management innovation, and environmental performance were 0.819, 0.877, and 0.860, respectively. All CITC values were above 0.500, and no items needed to be deleted.
5.2. Exploratory Factor Analysis
For the environmental regulation scale, the KMO value was 0.924 and Bartlett’s test of sphericity was significant (χ2 = 2370.817, df = 105, p = 0.000), indicating that the data were suitable for factor analysis. The cumulative explained variance reached 60.345%, exceeding the minimum standard of 50%. At the subscale level, the KMO values for command-and-control regulation, market-incentive regulation, and public-participation regulation were 0.836, 0.851, and 0.844, respectively, and all Bartlett’s tests were significant at the p < 0.001 level. These results support the three-dimensional structure of environmental regulation.
For the green performance scale, the KMO value was 0.968, and Bartlett’s test of sphericity was also significant (χ
2 = 3631.221, df = 171,
p = 0.000). The cumulative explained variance reached 57.951%, indicating that the extracted factors had sufficient explanatory power. The KMO values for green process innovation, green management innovation, and environmental performance were 0.845, 0.909, and 0.910, respectively, and all Bartlett’s tests were significant at the
p < 0.001 level. These results support the three-dimensional structure of green performance. The specific results are shown in
Table 8 and
Table 9.
5.3. Confirmatory Factor Analysis and Measurement Model Assessment
Confirmatory factor analysis is presented in
Table 10. The model fit indices showed good performance: χ
2/df = 1.970, RMSEA = 0.051, GFI = 0.949, AGFI = 0.927, CFI = 0.965, IFI = 0.966, and TLI = 0.957. These values indicate that the overall fit of the measurement model was satisfactory. This result confirms that the dimensional classification and indicator selection were empirically distinguishable.
Convergent validity was assessed using standardized factor loadings, squared multiple correlations, composite reliability, and average variance extracted. As shown in
Table 11, the minimum standardized factor loading among the constructs was 0.649, and all composite reliability values exceeded 0.800. The AVE values ranged from 0.473 to 0.524. Although some AVE values were slightly below the recommended threshold of 0.500, the relatively high standardized factor loadings and composite reliability values indicate that the constructs still had acceptable convergent validity.
5.4. Correlation Analysis
As shown in
Table 12, all correlation coefficients were positive and statistically significant at the 0.01 level. Command-and-control environmental regulation was significantly and positively correlated with green process innovation (r = 0.635), green management innovation (r = 0.607), and environmental performance (r = 0.570). Market-incentive environmental regulation was also positively correlated with the three dimensions of green performance, with coefficients ranging from 0.608 to 0.636. Public-participation environmental regulation showed the strongest positive correlations with green process innovation (r = 0.801), green management innovation (r = 0.761), and environmental performance (r = 0.714). These results provide preliminary support for the relationships among the variables. However, correlation analysis cannot determine whether each type of regulatory instrument has an independent effect after controlling for the other regulatory tools. Therefore, structural equation modeling was used for the subsequent analysis.
5.5. Structural Equation Modeling and Hypothesis Testing
As shown in
Table 13, all model fit indices were within an acceptable range: χ
2/df = 2.175, RMSEA = 0.056, CFI = 0.920, IFI = 0.921, TLI = 0.912, GFI = 0.879, and AGFI = 0.857. Although GFI and AGFI were slightly below the ideal threshold of 0.900, both exceeded 0.800, while RMSEA and the incremental fit indices met widely accepted standards. Therefore, the structural model was considered suitable for hypothesis testing.
As shown in
Table 14 and
Figure 1, command-and-control environmental regulation had significant positive effects on green process innovation (β = 0.316,
p < 0.001), green management innovation (β = 0.250,
p < 0.001), and environmental performance (β = 0.200,
p = 0.002), thereby strongly supporting H1. Its effect was most pronounced on green process innovation. This finding is consistent with the operational mechanism of command-and-control regulation in biosafety laboratory construction: mandatory environmental assessment, site approval, technical standards, construction supervision, emission-control requirements, and final acceptance conditions first influence project process and technical choices. Field interviews further indicated that environmental impact assessment, site adjustment, HVAC energy-saving requirements, and final acceptance standards jointly constituted binding constraints during project implementation.
Market-incentive environmental regulation did not significantly affect green process innovation (β = −0.073, p = 0.328), green management innovation (β = 0.055, p = 0.460), or environmental performance (β = 0.108, p = 0.173). Therefore, H2 was not supported. This result does not imply that economic incentive instruments are entirely ineffective; rather, it suggests that existing market-incentive tools failed to form an effective transmission mechanism in biosafety laboratory construction. In practice, biosafety laboratory projects are highly compliance-oriented: project decisions are usually dominated by technical specifications, safety requirements, institutional procurement rules, and regulatory requirements, while subsidies, cleaner production funds, tax incentives, and green credit quotas may not directly benefit design institutes, contractors, or project managers. Interview evidence also showed that the availability of special funds, tax incentives, and green credit support at the project implementation level was very limited.
Public-participation environmental regulation exerted the strongest positive effects on green process innovation (β = 0.888, p < 0.001), green management innovation (β = 0.874, p < 0.001), and environmental performance (β = 0.808, p < 0.001), thereby strongly supporting H3. Field interviews suggested that repeated environmental assessments, expert reviews, user requirements, and subsequent maintenance responsibilities encouraged project participants to adopt safer and more environmentally friendly materials, technologies, and management practices. Therefore, public-participation regulation demonstrated the strongest promoting effect across all three dimensions of green performance.
5.6. Supplementary Regression Analysis of Market-Incentive Regulation
Since market-incentive environmental regulation was not significant in the structural equation model, a supplementary multiple linear regression analysis was further conducted to explore why specific market-incentive instruments failed to produce significant effects. The study selected five retained market-incentive measures as independent variables, including pollution control subsidies, cleaner production funds, environmental governance subsidies, tax incentives, and green credit support. Green process innovation, green management innovation, and environmental performance were used as dependent variables in three separate regression models. The control variables included gender, work experience, industry category, prior organizational experience with biosafety laboratory construction projects, and the respondent’s understanding of biosafety laboratory construction projects. The three supplementary regression models were specified as follows:
Among these, , , and are dependent variables; , , , , and are independent variables; …, …, and … are regression coefficients; , , and are error terms, representing the differences between the dependent and independent variables that cannot be explained by the independent variables in the regression equation; is the control variable, representing other variables that significantly influence the dependent variable but are not the primary focus of the study, the inclusion of which aims to eliminate interference from these variables on the research findings.
The VIF values of all regression models were below 2.267, indicating that multicollinearity was not a serious concern. To keep the tables concise, the coefficients of some control variables, including industry category, work experience, and prior organizational experience with biosafety laboratory construction projects, are not reported in
Table 15,
Table 16 and
Table 17. These variables were included in the regression estimation. The detailed results are presented in
Table 15,
Table 16 and
Table 17.
For green process innovation, the adjusted R2 was 0.692 and the model was statistically significant (F = 44.910, p < 0.001). Among the five market-incentive instruments, only pollution control subsidies had a significant positive effect on green process innovation (B = 0.085, β = 0.101, p = 0.007). Cleaner production funds, environmental governance subsidies, tax incentives, and green credit support did not show significant effects. This result indicates that broad or indirect fiscal policies are unlikely to effectively promote process-level green innovation in biosafety laboratory construction. Green process innovation usually needs to be closely linked to project execution, such as the selection of environmentally friendly materials, installation of safe and energy-efficient equipment, improvement of waste treatment systems, and adoption of pollution control facilities.
For green management innovation, the adjusted R2 was 0.633 and the model was statistically significant (F = 34.618, p < 0.001). Pollution control subsidies again showed a significant positive effect (B = 0.094, β = 0.107, p = 0.009), while tax incentives also had a weaker but significant positive effect (B = 0.061, β = 0.084, p = 0.037). The remaining market-incentive instruments did not reach statistical significance. This finding suggests that green management innovation is more sensitive to fiscal incentives. Tax incentives may encourage enterprises to improve internal environmental management systems, monitoring procedures, documentation, and compliance processes.
For environmental performance, the adjusted R2 was 0.579 and the model was statistically significant (F = 27.895, p < 0.001). Only pollution-control subsidies significantly improved environmental performance (B = 0.137, β = 0.165, p < 0.001). The effect of cleaner production funds was weak and insignificant (p = 0.059), while environmental governance subsidies, tax incentives, and green credit support showed no significant effects. This result indicates that the final environmental outcomes of biosafety laboratory construction depend largely on the strength of support for pollution control. Other market-based instruments did not directly act on key technical systems in biosafety laboratories, such as wastewater disinfection, exhaust gas purification, waste separation, ventilation systems, pressure gradient control, and energy-saving operation. Therefore, their overall effects were limited.
6. Discussion
This study examined how different types of environmental regulation affect green performance in biosafety laboratory construction projects. The empirical results show a clear pattern. Command-and-control regulation and public-participation regulation significantly improved green process innovation, green management innovation, and environmental performance. However, market-incentive regulation did not show a significant overall effect in the SEM results. These findings suggest that environmental regulation does not affect green performance through one single mechanism. Instead, the effect of each regulatory tool depends on whether it can be translated into project-level technical requirements, management procedures, stakeholder responsibilities, and final acceptance standards.
6.1. Interpretation of the Main Findings
6.1.1. Findings on Command-and-Control Regulation and Green Performance
The significant positive effect of command-and-control regulation shows that mandatory regulation is still an important governance tool in high-risk and technically complex construction projects. In biosafety laboratory construction projects, environmental regulation is closely linked to environmental impact assessment, site selection, ventilation systems, pressure gradient control, wastewater disinfection, waste treatment, construction supervision, and final acceptance. These requirements are not only general environmental principles; they are binding conditions that affect whether a project can be approved, built, accepted, and put into use. Therefore, command-and-control regulation improves green performance by setting minimum compliance standards. It also requires project participants to include environmental and biosafety requirements in design and construction decisions. Its effect is especially important for green process innovation, because mandatory standards directly affect the choice of materials, equipment, construction methods, waste treatment systems, and pollution control facilities. The results also show that command-and-control regulation significantly promotes green management innovation and environmental performance. Mandatory regulation changes not only technical processes but also project management practices. To meet environmental and biosafety standards, project participants must improve documentation, internal supervision, environmental monitoring, subcontractor coordination, and acceptance preparation. In this sense, command-and-control regulation is both a compliance mechanism and a project coordination mechanism. It defines the safety boundaries that designers, contractors, supervisors, and users must follow.
6.1.2. Findings on Market-Incentive Regulation and Green Performance
The insignificant effect of market-incentive regulation is one of the key findings of this study. This result shows that current market-based tools have not yet formed a strong and stable project-level transmission mechanism in biosafety laboratory construction. Fiscal incentives such as cleaner production funds, environmental governance subsidies, tax incentives, and green credit exist at the policy level, but may not fully reach contractors, design units, or project managers. Furthermore, many project decisions in biosafety laboratory construction are mainly shaped by technical standards, client requirements, procurement rules, safety codes, and final acceptance conditions. In this context, economic incentives may be too indirect. They may not be strong enough to change actual construction behavior.
The supplementary regression analysis gives a more detailed explanation for this result. Although market-incentive regulation was not significant as a whole in the SEM, pollution control subsidies consistently promoted green process innovation, green management innovation, and environmental performance in the regression analysis. This means that market-based incentives are not naturally ineffective. Their effect depends on whether they are direct, project-related, and linked to measurable environmental benefits. In biosafety laboratory construction, green improvement often requires extra investment in high-efficiency air filtration systems, wastewater disinfection systems, energy-saving HVAC systems, sealed building materials, environmental monitoring systems, and waste treatment facilities. If financial support is directly linked to these technical systems, it can reduce the cost burden of green improvement. However, if the incentives are too broad, too indirect, or only targeted at the enterprise level rather than the project level, their effect on real construction decisions will be limited. The interview results also support this finding. Project participants were more familiar with pollution control subsidies, but they knew little about other market-based tools.
6.1.3. Findings on Public-Participation Regulation and Green Performance
Public-participation regulation had the strongest positive effect on all three dimensions of green performance. It should be stressed that public participation should not only be seen as general social pressure or community protest. In this study, it includes environmental information disclosure, participation in environmental assessment, expert review, stakeholder consultation, environmental certification, user-side requirements, voluntary environmental commitments, and the active use of green technologies. These activities involve regulators, laboratory users, designers, contractors, supervisors, technical experts, and sometimes public representatives.
As shown in
Table 18, the strong effect of public-participation regulation comes from its ability to bring green requirements into project decisions and construction work. Expert review and environmental assessment can identify environmental and biosafety risks at the design stage. User-side requirements can encourage contractors to use safer, more durable, and easier-to-maintain materials and systems. Environmental certification and information disclosure can create pressure from reputation and accountability. Voluntary commitments and stakeholder consultation can also push firms to go beyond minimum compliance requirements. The field interviews support this result. Expert demonstration meetings, environmental impact assessment procedures, user requirements, and later maintenance responsibilities often affect material selection, process design, and environmental management practices in biosafety laboratory construction. This helps to explain why public-participation regulation had the strongest effect among the three types of regulation in this study.
6.2. Contextual Mechanisms
To better understand the different effects of these three regulatory tools, it is necessary to consider the specific background of biosafety laboratory construction projects. These projects are different from ordinary construction projects because they combine engineering construction, environmental protection, biosafety control, laboratory operation, public health prevention, and strict regulatory compliance. During project construction, they must not only meet common goals such as quality, cost, schedule, and safety, but also meet many special requirements. These include hazardous substance control, stable airflow organization, pressure gradient maintenance, wastewater disinfection, exhaust gas filtration, hazardous waste disposal, and laboratory personnel protection. Therefore, in this context, “green performance” is not limited to energy-saving and emission reduction, but also includes environmental benefits and health risk prevention related to biosafety.
Command-and-control regulation is effective because it directly targets these technical and safety requirements. In biosafety laboratory construction, mandatory environmental and biosafety standards define the minimum acceptable conditions for project implementation. Once these requirements are included in project approval and final acceptance procedures, project participants must translate them into specific design and construction measures. Its main function is to prevent non-compliance. However, command-and-control regulation also has its own limits. This type of regulation is effective in setting minimum standards, but it may not be enough to encourage participants to actively seek improvement beyond compliance. In many cases, project participants are more likely to meet regulatory requirements than to actively look for better green solutions.
The effect of market-incentive regulation is relatively weak because many incentive tools are not fully embedded in project decision-making processes. Biosafety laboratory construction projects are usually one-off or customized projects rather than continuous production activities. The main decision-makers may include project owners, designers, contractors, supervisors, regulators, equipment suppliers, and users. In many cases, market-based measures at the enterprise level cannot be directly linked to specific project investment decisions, so they fail to produce the most direct effect. In addition, some green technologies and equipment used in biosafety laboratories are already compliance requirements. Their adoption is determined by mandatory standards rather than financial incentives. Therefore, market incentives may have limited additional influence when the required technologies must be installed regardless of subsidies, tax benefits, or green credit support. This helps explain why market-incentive regulation showed a weaker effect on green performance in this study.
Public-participation regulation plays the most important role because it closely connects technical expertise, user requirements, regulatory demands, and life-cycle responsibility. Biosafety laboratories are highly specialized facilities, and many environmental risks can only be identified by professionals with relevant technical knowledge. Expert review can judge whether the ventilation system design, pressure gradient setting, wastewater treatment plan, and waste storage scheme are reasonable. Laboratory users can provide feedback on operational safety, disinfection convenience, maintenance needs, and personnel protection measures. Regulatory agencies can assess whether construction practices comply with standards. Contractors and maintenance service providers can evaluate material durability, equipment reliability, and long-term operating costs. Through these interaction mechanisms, public-participation regulation transforms green performance from an external requirement into a shared project responsibility among different actors. It not only improves decision quality at the design and construction stages, but also strengthens accountability during later operation and maintenance. This explains why public-participation regulation has the strongest effect on green performance in biosafety laboratory construction projects.
6.3. Comparison with Previous Studies
The findings of this study are partly in line with previous studies on environmental regulation and green innovation. Command-and-control regulation had a positive effect on green process innovation, green management innovation, and environmental performance. This supports earlier research showing that mandatory environmental regulation can encourage green innovation and improve environmental outcomes through compliance pressure [
4,
5]. In biosafety laboratory construction projects, this effect seems to work mainly through environmental assessment, technical standards, construction supervision, and final acceptance requirements, rather than through normal market competition.
The overall effect of market-incentive regulation was not significant, which is different from some studies that found positive effects of subsidies, green credit, carbon trading, or emission trading on green innovation [
22,
23]. One possible reason is the special nature of BSL projects. Many decisions in these projects are affected by biosafety standards, public budgets, procurement rules, and acceptance procedures. Because of this, general market-based incentives may not directly influence green decisions at the project level.
Public-participation regulation showed a strong positive effect, which is consistent with studies on stakeholder pressure, information disclosure, and external accountability [
26,
43]. In this study, public participation is not limited to public supervision; it also includes expert review, participation in environmental assessment, user requirements, environmental certification, and voluntary adoption of green technologies. This result suggests that structured stakeholder participation may play an important role in improving green performance in high-risk and highly specialized infrastructure projects.
7. Conclusions
7.1. Main Findings and Contributions
According to the questionnaire data of 372 respondents and empirical testing based on Structural Equation Modeling (SEM), this research presents empirical evidence about the impacts of various regulatory measures on green performance in a special and high-risk construction industry. The results demonstrate distinct differences among the three regulatory methods. The command-and-control regulation has a significant positive effect on green process innovation, green management innovation and environmental performance, with standard coefficients of 0.316, 0.250 and 0.200, respectively. The public-participation regulation shows the greatest influence on the above three aspects, with coefficients of 0.888, 0.874 and 0.808, respectively. On the contrary, the market-incentive regulation does not have significant direct impacts. Additional regression results also indicate that only the pollution control subsidies have stable positive effects on the three dimensions of green performance, while most other market-incentive instruments are not consistently significant. These results suggest that the green governance in the construction of biosafety laboratories should not depend on a single regulatory strategy. Strict standards provide the basis for compliance, specific incentives can be effective when related to the environmental outcomes at the project level and structured public participation can reinforce the technical review, stakeholder coordination, reputational pressure and life-cycle accountability.
7.2. Theoretical Implications
This research puts forward three theoretical viewpoints. Firstly, it expands the literature on environmental regulation and green performance from ordinary industries and manufacturing sectors to the construction of biosafety laboratories, which is a special project with environmental, biosafety and public health risks. This extension indicates that the impact of environmental regulation is influenced not only by the kind of regulatory means but also by the institutional and technical features of the project background. Secondly, this study improves the definition of green performance in biosafety laboratory construction by combining green process innovation, green management innovation and environmental performance. This multi-dimensional system is more suitable for evaluating the sustainability demands of high-risk construction projects than the currently used single indicators which mainly concentrate on energy saving, pollutant elimination, waste decreasing or cost saving. Finally, this research finds a boundary condition for market-oriented regulation. The weak direct results of market-oriented regulation imply that market mechanisms may not function well in complex and strictly controlled project conditions unless they are considered in the investment decisions, technical standards, stakeholder roles and lifecycle performance assessment of the project.
7.3. Practical Implications
For government regulators, command-and-control regulation is the basic method for the construction of biosafety laboratories. Since these projects have impacts on the environment, biosafety and public health, regulations should provide clear and implementable rules for the approval, technical design, construction supervision, pollution prevention, waste management and the final acceptance. These rules should be introduced in the planning and design stages instead of being adjusted after construction problems appear. Market-oriented policies need to be revised to be more focused and project-oriented. The research shows that general economic incentives cannot automatically enhance green performance. Thus, subsidies, green credits, tax preferences and purchasing incentives should be associated with specific green technologies, pollution-reducing investments and measurable life-cycle environmental effects. In this way, market incentives can transform from broad policy indications to effective governing instruments at the project level. Public involvement regulation should also be institutionalized further. Regulations can invite environmental engineers, biosafety specialists, facility managers, users, supervisors and contractors for the technical examination, construction inspection and acceptance assessment. This kind of structured involvement can improve the feasibility of green and biosafety measures and increase responsibility throughout the life cycle. For the construction companies and project leaders, environmental regulations should not be regarded as a mere burden for compliance. Companies should incorporate the green performance requirements into the design cooperation, purchase arrangement, construction planning, subcontractor management, quality control and acceptance preparation. Digital tools like BIM-based coordination platforms can be utilized to observe energy consumption, material selection, waste production and important environmental indicators. This will help the companies to establish a green management system based on early coordination, technical integration and stakeholder cooperation.
7.4. Limitations and Future Research
The data were collected through a cross-sectional questionnaire survey, which cannot fully reflect dynamic causal relationships that change over time. The measurement of variables was mainly based on respondents’ subjective perceptions. Perceptual evaluation indicators may still differ from objective project outcomes. Biosafety laboratory construction projects include multiple stages, such as planning, design, approval, construction, acceptance, and operation. The impacts of environmental regulation may vary across these stages. Future research could combine survey data with objective indicators and adopt a longitudinal research design to examine the specific effects of different regulatory tools on green performance throughout the entire project life cycle.