The aim of poverty alleviation relocation is to break the vicious cycle of poverty and ecological degradation. The improvement of human capital, specifically women’s human capital, is important to realize the poverty alleviation and sustainable development of relocated peasant households. Based on the survey data of 902 peasant households in southern Shaanxi in 2020, using the PSM model and the mediation effect test model, this paper explores the impact of participation in relocation on human capital from the perspective of gender differences, and the mediation effect of fuelwood consumption in the effect of participation in relocation on the human capital of peasants with different genders. The results show that firstly, in general, participation in relocation effectively improves the human capital of peasants. Secondly, there are gender differences in the improvement of the human capital of relocated peasants. Compared with male peasants, the health level of female peasants is significantly improved. Finally, fuelwood consumption plays an important mediation role in the impact of participation in relocation on human capital and the mediation role is more significant in improving the human capital of relocated female peasants.