Australia's major super funds are failing in their commitment to address climate change by voting in favour of "expansion" bonuses for energy company executives, a new report claims.

The report, by environmental campaign group Market Forces, claims super funds are signing off on bonuses for oil and gas executives that are explicitly tied to exploration, despite committing to the 2 degree climate change benchmark established through the Paris climate deal.

A report accuses Australia's major super funds for signing off on bonuses for fossil fuel expansion, despite pledging action on climate change. Credit:AP

The benchmark would render many of Australia's existing reserves unusable.

Seven Australian energy companies in the ASX300 have been singled out in the report as issuing bonuses directly tied to new fossil fuel projects. These include Santos, Oil Search and Karoon Gas Australia.