Obama's Clean Power Plan: Winners & Losers

On Monday, the Obama administration together with the Environmental Protection Agency unveiled a new set of guidelines aimed at reducing emissions in the United States. The Clean Power Plan will reduce carbon emissions by 32 percent from their 2005 levels by 2030. Obama plans to allow states to create their own individual plans to meet their designated targets, which they will need to submit in the coming years.

Controversial Plan

The Clean Power Plan has been heralded by environmentalists as a necessary step forward in the battle against climate change. Obama called the proposal "the biggest, most important step" the nation has ever taken.

However, not everyone agrees.

Critics of the plan say Obama has waged a war on coal and that the new rules will stifle job growth and raise the cost of energy in the US.

See Also: Why Are Solar Stocks Down After Obama's Carbon Announcement?

Losers

Should the plan make it through a barrage of criticism in Washington, it is expected to have an uneven impact across the US. Much of whether or not a specific state will benefit depends on that particular state's reliance on coal and how its industry is regulated. Despite that, the coal industry as a whole is expected to suffer under the new regulations. Companies like Alpha Natural Resources, Inc. ANRZ and Xinergy Ltd. which are already struggling to stay afloat, are likely to face a bumpy road ahead.

Winners

Nuclear power is expected to see a boost from the Clean Power Plan as it is an effective way to generate power without major greenhouse gas emissions. Renewables like solar and wind power are also expected to gain momentum as more and more states turn to alternative energy sources to meet their new targets.