The Queensland Government has defended giving almost $3.5 million in taxpayer dollars to the controversial Great Barrier Reef Foundation (GBRF), including more than $100,000 for a smartphone game that is yet to be delivered.

Key points: The Queensland Environment Minister slams federal funding for the GBRF as lacking transparency

The Queensland Environment Minister slams federal funding for the GBRF as lacking transparency But Leeanne Enoch's department also gave GBRF more than $3.4 million

But Leeanne Enoch's department also gave GBRF more than $3.4 million The grant for a smartphone game is running behind schedule

Earlier this month, a Labor-dominated Senate inquiry found the Federal Government's granting of $444 million to the GBRF over six years was a "highly irresponsible decision" and called on any unspent money to be returned to the Commonwealth.

However, records from Queensland's Department of Environment and Science show in January last year it gave the GBRF an initial grant of $110,000, and a $3.3 million payment in April — the biggest grant paid by the department that financial quarter.

A GBRF spokeswoman said the first grant helped pay for a 'Love the Reef' smartphone game aimed at school children.

"The app aims to create a fun and educational experience to inspire young Queenslanders to learn more about the Great Barrier Reef, the threats it faces and what is being done to protect it," she said.

While the game was initially slated for release in "early 2019", the spokeswoman confirmed it was still in development.

The company tasked with its development would not be named, because it was "commercial in confidence".

'Should have been more transparent'

In May, Queensland Environment Minister Leeanne Enoch slammed the Federal Government's decision to hand over nearly half a billion dollars to the GBRF.

The Queensland Government funded GBRF to develop a reef smartphone game for kids, but it is yet to be delivered. ( ABC News: Kerrin Binnie )

In April, her department handed $3.3 million to the GBRF for a "Reef Islands" initiative for the "establishment of a network of climate change refuges to protect critical habitats on five Great Barrier Reef islands", days before the huge federal grant was announced.

In response to questions from ABC News, Ms Enoch said her main concerns were about the size and handling of the Federal Government's package.

"As I said at the time, this funding was allocated without tender, consultation or discussion and I believed there should have been a more transparent decision-making process from the Federal Government for such a large investment," she said.

"The Palaszczuk Government is committed to protecting the Great Barrier Reef and we recognise the most effective way to do this is to work together with stakeholders towards the best outcome for the reef."

Opposition Leader Deb Frecklington has called on the State Government to release more details about who was developing the Love the Reef game.

"The Palaszczuk Labor Government needs to be more transparent and explain who is doing this app and why is it so late," she said.