It's actually a major approach under the name biomass. Despite releasing carbon when wood is burned, the tree has taken in significant CO2 over the course of it

It's actually a major approach under the name biomass. Despite releasing carbon when wood is burned, the tree has taken in significant CO2 over the course of its life. In addition, decomposing wood byproducts are going to release carbon anyway as they decompose, I believe. Places with excess wood byproduct can generate power onsite. It's not going to replace other power sources, but it is commonly done.