Bruce Power announced Monday it will no longer go ahead with a controversial nuclear power plant proposed for Peace River, Alta.

"Throughout our existence at Bruce Power we've looked at a number of potential business development opportunities," Bruce Power President and CEO Duncan Hawthorne said in a news release.

"We've decided the new nuclear option in Alberta is not something our company will be progressing further."

The company wanted to build Alberta's first nuclear power plant on a site outside Peace River, about 480 kilometres northwest of Edmonton.

The first site, located on Lac Cardinal, 30 kilometres west of the town, alarmed some residents who worried about its proximity to a freshwater aquifer that provides drinking water for the area.

Those concerns were part of the reason why the company temporarily withdrew an application with the Canadian Nuclear Safety Commission for the Lac Cardinal site in January 2009.

A second location, about 30 kilometres north of Peace River, was chosen two months later, but residents also worried about the site's impact on water and wildlife in the area.

The company will now focus its attention on its Ontario operations, Hawthorne said.

"Innovative businesses develop and consider new opportunities, but we've made a business decision to continue to put our full focus on the safe, reliable operations and ambitious investment program on our Bruce site."