A proposed nuclear power unit has been scrapped by a Duke Energy unit, the second such announcement by the company in as many days.

Duke Energy Florida told state regulators that it will no longer move forward with plans to build the Levy Nuclear Project, and that customers will not pay any further costs associated with the project.

The project was intended to use Westinghouse AP1000 reactors with a generating capacity of around 2,100 megawatts. In March, Westinghouse filed for Chapter 11 bankruptcy protection. In the wake of that, work was halted in late July on two nuclear reactors under construction by SCANA and Oglethorpe Power in South Carolina.

And on August 29, Duke Energy Carolinas said it would no longer pursue two nuclear units at the existing Lee Nuclear Station. Two AP1000 reactors being built by Georgia Power at the Vogtle nuclear site remain under construction.

"Risks and uncertainties to initiating construction on the Lee Nuclear project have become too great and cancellation of the project is the best option for customers," a company statement said announcing the late August decision.

Duke Energy Florida's decision was part of a revised settlement agreement with the Florida Public Service Commission. The settlement agreement includes investments in solar energy, smart meters, grid modernization projects to enhance reliability, make the grid more resilient and secure, and optional billing programs to enhance customer choices. The agreement also includes plans to install electric vehicle charging stations and a battery storage pilot program.

The agreement will take effect in January 2018 and will include investments of nearly $6 billion over the next four years.

The settlement includes a reduction of $2.50 per 1,000 kilowatt-hours (kWh) for residential customers by removing unrecovered Levy Nuclear Project costs. The company says it will absorb more than $150 million in costs that would have been recovered through rates.

In addition, some 700 MW of solar power facilities will be added over the next four years. The utility also plans to install more than 500 electric vehicle charging stations and up to 50 MW of battery storage.

The Levy County Nuclear Power Plant was first proposed in 2006 by Progress Energy Florida, now Duke Energy Florida. The site's proximity to the company's Crystal River 3 Nuclear Power Plant was expected to offer O&M efficiencies. In 2013, Progress Energy said it would close the Crystal River reactor after cracks formed in its containment dome.

Cost projections of the now-shelved Levy nuclear power plant ranged from $19–24 billion, including $3 billion for transmission upgrades. The first reactor was expected to come online in 2024 and the second 18 months later.

In late 2008, Florida regulators voted to allow Progress Energy to charge customers an additional $11.42 per 1,000 kilowatt-hours to pay for the Levy plant and work upgrading the Crystal River plant.