Harnessing sustainably sourced forest biomass for renewable energy is well-established in some parts of the developed world. Forest-based bioenergy has the potential to offset carbon dioxide emissions from fossil fuels, thereby playing a role in climate change mitigation. Despite having an established commercial forestry industry, with large quantities of residue generated each year, there is limited use for forest biomass for renewable energy in Queensland, and Australia more broadly. The objective of this study was to identify the carbon dioxide mitigation potential of replacing fossil fuels with bioenergy generated from forest harvest residues harnessed from commercial plantations of Pinus species in southeast Queensland. An empirical-based full carbon accounting model (FullCAM) was used to simulate the accumulation of carbon in harvest residues. The results from the FullCAM modeling were further analyzed to identify the energy substitution and greenhouse gas (GHG) emissions offsets of three bioenergy scenarios. The results of the analysis suggest that the greatest opportunity to avoid or offset emissions is achieved when combined heat and power using residue feedstocks replace coal-fired electricity. The results of this study suggest that forest residue bioenergy is a viable alternative to traditional energy sources, offering substantive emission reductions, with the potential to contribute towards renewable energy and emission reduction targets in Queensland. The approach used in this case study will be valuable to other regions exploring bioenergy generation from the forest or other biomass residues.