Duke Energy said it will cancel an engineering and construction contract for its proposed Levy County nuclear project in Florida. However, it will continue to seek a construction and operating license, which it expects the Nuclear Regulatory Commission to award in late 2014 or early 2015. Duke cited delays at the NRC and policy uncertainty at the state level in its decision on the engineering contract. "We continue to believe the Levy site is a viable option for future nuclear generation, and we want to keep that option open," said Duke Florida President Alex Glenn. Meanwhile, it plans to build a 1,800-megawatt natural-gas plant, which is expected to break ground within the next two years.