NEW YORK (
) -- President Barack Obama announced new limits on just how much carbon dioxide power plants can release into the air, sending shares of coal stocks lower.
"Human activities are changing the climate in dangerous ways," Obama said Monday. "Levels of carbon dioxide, which heats up our atmosphere, are higher than they've been in 800,000 years. 2014 was the planet's warmest year on record."
The plan aims to cut 2005 carbon levels by 32% over the next 15 years.
"We'll be keeping 870 million tons of carbon dioxide pollution out of our atmosphere," Obama added.
But not everyone is fond of the new proposals. The plan could raise costs for coal companies and shut down hundreds of coal-powered plants, which tend to emit more carbon than other fossil fuels like natural gas.
"This is just a continuation of the war on coal that has been going on for a long time," said TheStreet's Jim Cramer, referring to the new plan to cut carbon emissions. "What's important to recognize is, coal is going away," Cramer added. "And it's being replaced by natural gas. But this is the death of coal, it's just the fifth death of coal."
Analysts at Cowen and Company downgraded shares of Arch Coal to market perform from outperform, with a 25-cent price target. Shares traded at 18 cents a share on Monday.
While Cramer advises against investing in coal stocks, he says power plants aren't in trouble by the new measures to cut emissions. He says power plant American Electric Power (AEP) - Get Report is in particularly good shape, which traded slightly higher following Obama's remarks.