Carbon Storage Feasibility Study

The Virginia Department of Energy is launching a program aimed at reducing greenhouse gas (GHG) emissions across the Commonwealth by deploying projects in Carbon Capture and Storage (CCS). The primary objective of this initiative is to bring technological advancement, industrial knowledge, and businesses to the southwestern region of the state - Southwest Virginia (SWVA) while reducing emissions.


Program Overview:

Virginia Energy invites proposals for establishing planning grants up to $250,000 each to help support the potential for storing carbon in the commonwealth. Once captured, Carbon Dioxide (CO2) can potentially be injected and stored in areas such as underground coal seams, saline formations, oil and natural gas reservoirs, shales, and basalt formations. This program aims to conduct a study to determine the feasibility of storing carbon in underground gas zones in SWVA in relation to the industrial production of CO2.

Proposals from businesses, research institutions, universities, vendors, or collaborations between governments and technology providers with expertise in carbon capture and storage are invited. The projects under this program will focus on studying the scope of research, development, and deployment (RD&D) of the Carbon Capture and Storage (CCS) technologies within SWVA boundaries contributing to a cleaner and more sustainable future for the citizens of the commonwealth particularly those that have been historically underserved.

Objective:

This program aims to develop and confront energy issues that must be addressed for a viable transition to clean energy. The objective of this program is to work at the community level to understand and address the issues around the deployment of CCS in the SWVA region.

For this study, to ensure sustainable and responsible economic development, preference for site selection will be given to brownfield sites, including previously mined lands when feasible. This program also aims to increase avenues for new industries to grow in SWVA which historically has a higher percentage of underserved communities; with a particular focus on employment generation within disadvantaged and rural communities as defined by the Justice40 criteria (outlined in the guidelines). Through this federally funded program, the commonwealth will explore future economic opportunities around this industry specifically if they align with the state’s Energy Plan.


  • Total Amount Available: Up to $500,000
  • Proposal Period of Performance: 2 years
  • Proposal Amount: Sub-Awards Up to $250,000. Virginia Department of Energy (Virginia Energy) may elect to partially award proposals at its discretion.
  • Cost Share Requirements: At least 20 percent of the total project costs for conducting the study. Cost share beyond 20 percent will be viewed favorably. Cost share waivers can be considered by Virginia Energy on a case-by-case basis.
  • Eligible Geography: Projects must benefit the Southwest Virginia region.

General Reporting Requirements:

Additional data to report:

  • Attendance at public events and outreach contact volume.
  • Research and analysis on the volume of space, injectivity, integrity, and depth of the potential carbon storage site(s)
  • Policy implications, challenges, and the environmental and economic impact of storing CO2 in the region

Sub-Award Proposal Instructions

  • Carefully review the program guidelines, objectives, and example terms and conditions to ensure proposals align with program goals.
  • Awards will be based on competitive evaluation and scoring criteria outlined in the application.
  • Submit complete applications by January 31, 2025. Late or incomplete submissions will not be considered.
  • Use the provided format with a minimum 12-point font size.
  • Limit applications to 8 pages, excluding required attachments.

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