The production of biofuels is an expensive and ineffective way to tackle greenhouse gas emissions and an inefficient use of the European Union's resources, according to a European Commission paper leaked Friday.

The production of biofuels is an expensive and ineffective way to tackle greenhouse gas emissions and an inefficient use of the European Union's resources, according to a European Commission paper leaked Friday.

The commission's Joint Research Centre, which provided the analysis, said it's impossible to know whether the E.U.'s 10% target for biofuels use in transport by 2020 will reduce greenhouse gas emissions.

However, although the commission is set to produce sustainablity guidelines for the biofuels industry next week, it's doubtful there will be any change to their consumption goal.

"We are absolutely not going to review the 10% target," said a commission spokesman, adding that the JRC's document is an internal paper that is one of many which have contributed to the commission's analysis of the alternative fuels industry.

According to the report, the only commonly used biofuel which saves greenhouse gas emissions is sugarcane-based ethanol from Brazil. Biomass could be more efficiently used to produce electricity rather than biofuels, it added.

The commission is due to publish sustainablity guidelines for the biofuels industry on Jan. 23 in a bid to quell concerns that some biofuels used in the E.U. may be doing more damage than good to the environment.