I've not made an entire chenille quilt, but I have made chenille bias to decorate and trim quilts. One was a baby quilt with animals. I put chenille trim around the elephant's ears and the end of his tail; chenille as the lion's mane and on the giraffe's neck, etc. On another quilt, I used chenille trim on the edge of drunkard's path blocks.
I did not use flannel for these, I used regular quilting cotton. I cut it on the bias, then stacked 3-4 layers together and stitched them onto the quilt. It adds wonderful texture.