The level of urbanization is a key factor in urban development. In this study, to better characterize the level of urbanization, the panel entropy weight method is used to weight the factors of population, industry, and area to construct a composite indicator of urbanization. A panel regression between this composite index and the average night light values after fusion shows a strong correlation. An accuracy test indicates that the estimated value of fused average light as calculated by the urbanization level estimation model that adequately represents the urbanization level. On this basis, night light data is corrected for zero error on the pixel scale, and spatiotemporal evolution analyses are performed on the city and county scales. The standard deviation ellipse method is used to find that the spatial distribution pattern of the Beijing-Tianjin-Hebei urbanization level from 1995 to 2018 radiates and spreads to the northeast, with Beijing-Tianjin as the center. The spatial pattern shows a contracting trend that is strengthening year by year. Slope analyses show that areas with rapid urbanization growth are mainly concentrated in Beijing and Tianjin. The urbanization development speed of most counties in the Hebei Province is at a low level.