Sweden aims to achieve net zero GHG emissions by 2045. To do this, one strategy could be increasing the biomass contribution in energy sector as approximately 75% of total greenhouse gas (GHG) emissions are related to energy consumption. Therefore, it is beneficial to explore efficient ways to upgrade biomass materials into high value-added bioenergy. This study considers the potential of Miscanthus cultivation and its application as biofuel materials in Sweden in terms of carbon sequestration and contribution in climate impact mitigation. Miscanthus, as an energy crop with relatively low maintenance requirements and a high dry matter yield and energy content, can play a major role in the sustainable development of biofuels. Using Miscanthus for energy, results in avoiding fossil fuel combustion and the corresponding GHG emissions. The results of this assessment demonstrated that the Miscanthus cultivation contributes in soil organic carbon sequestration by over one tonne carbon ha−1 yr−1 which results in mitigating a significant amount of soil CO2 fluxes. Therefore, the adaption of Miscanthus biomass, would directly contribute in UN Goal 7, affordable and clean energy, and Goal 13, climate action due to a significant reduction in GHG emissions. The integration of Miscanthus plant into the landscape may stimulate the economy of rural areas in the country and offer more profit than afforestation and reforestation on abandoned and marginal croplands.