Rather than picking winners and losers and setting arbitrary limits they should be using carbon and fuel taxes.
Under Obama's plan, operations that could pollute less will pollute exactly their limit, places where higher output and thus higher emissions would be actually more efficient in terms of greenhouse gases per MW will instead operate at lower efficiency, the government will spend billions of dollars subsidizing Solyndra wannabes, and actual gas use by consumers will change little no matter how they try to regulate the auto industry.
With carbon and fuel taxes, consumers and corporations would all have better incentives to improve their emissions, the market would decide the best way to allocate resources, energy innovation would be encouraged, there would be tremendously less deadweight loss, and the government could either reduce other taxes or reduce its absurdly large deficits.
People from all across the political spectrum who are informed and honest agree that this, not hard caps or cap-and-trade, is the way to go. But politicians like Obama would rather trash the nation's economy and not actually accomplish any climate progress than touch the third rail of fossil fuel taxes.
In a "town hall" conversation where I brought this up with my Congresscritter- a Tea Party diehard who I'm frequently frustrated with- I was shocked to hear him admit that raising gas taxes and using the revenue to either reduce deficits or reduce taxes on productive behavior is a very good idea. But, he said, it'll never fly, so I'm not going to try to push it. If everybody who knew it's the right thing to do got behind it and tried to educate the populace rather than hiding behind a smokescreen, pretty soon the idea would fly, with bipartisan support.