Some farmers paid to preserve vegetation on their land appear to be clearing other parts of their properties, undermining the benefits claimed by the Morrison government's climate policy.

About two-thirds, or $1.5 billion, of the Emissions Reduction Fund (ERF) has gone to vegetation projects, and a similar share is expected to to benefit the sector in the government's proposed $2 billion announced on Monday.

Land clearing in Queensland. Credit:Wilderness Society

However, analysis of satellite data by the Wilderness Society suggests some Queensland farmers receiving funding to sequester carbon are clearing other parts of their land. They have called on Melissa Price, Environment Minister, to review outlays before approving more.

"Our analysis shows that 13,317 hectares of forest and bushland clearing has occurred across 19 properties in the same year or years subsequent to winning ERF contracts for funding under vegetation methodologies," Glenn Walker, climate campaign manager for the group, said in a letter to Minister Price.