ACT Liberal senator Zed Seselja says Canberra ratepayers were "right to question" why they will fund a pro-marriage equality push.
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The federal government is said to have scrapped public funding for the 'yes' and 'no' campaigns ahead of a postal vote next month.
However Chief Minister Andrew Barr on Thursday secured the ACT parliament's approval to promote the 'yes' campaign ahead of the same-sex marriage plebiscite.
Mr Barr would not put a dollar figure on his government's support for the 'yes' campaign but said most would be "in-kind".
He again resisted calls on Friday to detail what would be spent.
"Where any extra financial support is given, it will mostly be in the form of support to LGBTIQ-focused organisations and mental health networks," Mr Barr said.
"The ACT Government support will be predominately 'in-kind', using existing resources and communication channels available to Government. For example, flying rainbow flags the government already owns, on the flagpoles we already own, or using the range of existing ACT government digital communication channels.
"As with the flag poles, buses are owned and operated by the ACT government. They are routinely wrapped and in this case a 'rainbow CBR' design consistent with existing city branding will be used. Any costs in this context are largely internal to ACT government (that is between ACT government agencies)."
The government would not provide any support to the 'no' campaign.
Senator Seselja said it was "yet another example of the bullying tactics used by same sex marriage activists who shout down opposing voices".
"ACT ratepayers are right to question why their massive tax increases are being used to fund only one side of a political campaign," Senator Seselja said.
"Labor politicians say they will ignore the result of the plebiscite but still spend taxpayers money campaigning for a yes vote.
"Canberrans hold a diversity of views and many are sick of being told what to think about the issue."
Mr Barr on Thursday took aim at critics who said the territory government should fund both sides of the debate or not at all.
"Some people have raised with me that if we're going to fly the rainbow flag over the city then we should fly a flag of the no campaign," Mr Barr said.
"I have put to people 'what would that flag be? What would it be? Would it be black? Would it be the pink triangle?' I don't think it will be, so we'll fly the rainbow flag because that is a flag of inclusion and it's a flag that represents the values of this city."
About 250 people turned out to a marriage equality mobilisation rally co-hosted by Labor MPs Andrew Leigh and Terri Butler on Thursday night.
'Texting' parties are being assembled and more than 30 street stalls will be run at shopping centres, town centres, university campuses and bus stops to encourage people to enrol to vote.
Dr Leigh said Labor would run the 'yes' campaign in "all corners of Australia".
"Labor will not give up until marriage equality is a reality in this country," Dr Leigh said.
"As Tiernan Brady told those gathered, we should do our best to make this campaign bring people together, not tear them apart."
