Australian palm residues are generated by palm heart industry in large quantities and are considered an underused material with a composition rich in lignocellulosic structures. This residue is generally utilized as briquettes for energy or sheep feed; however, few works investigate this residue as composite fillers. This work aimed to revalue Australian palm residues (PR) by preparing polypropylene composites through melt mixing, using different fiber contents (0, 5, 10, 20, and 30 wt%), and evaluate the statistical influence of fibers (residues) alkali treatment (MPR) in composites mechanical properties. PR and MPR were evaluated by FTIR, XRD, SEM, TGA, and composites were assessed using thermal and mechanical analysis, in which ANOVA statistical analysis was applied. The residues addition increased the mechanical properties and their treatment enhanced the stiffness of the composites compared to pristine PP. However, ANOVA demonstrated that at low residues contents, surface treatment does not increase fiber-matrix interactions effectively, then tensile properties were statistically similar to PP. Considering tensile properties, 20% MPR showed statistically distinct properties, with significative enhancements; no filler contents dependence was verified. Flexural properties were more sensitive to residue loading, and composites with 30% PR and MPR presented superior mechanical performance. This difference is associated with a higher sensitivity of tensile stress towards fiber-matrix interactions, which was improved with fiber treatment. Also, the residues content and treatment influenced the composites' thermal stability, with better results for PP-MPR. Results indicate that palm residue is an excellent filler for improving composites' thermal and mechanical properties, with a greener character.