France this week proposed a compromise on controversial biofuels requirements under negotiation at the European Union in the hope of ending a standoff between members of the European Parliament and the E.U. national governments, a document obtained by Dow Jones Newswires says.

France this week proposed a compromise on controversial biofuels requirements under negotiation at the European Union in the hope of ending a standoff between members of the European Parliament and the E.U. national governments, a document obtained by Dow Jones Newswires says.

The rules under discussion would require E.U. countries to derive 10% of their transportation energy from renewable sources, mainly biofuels, by 2020. But the Parliament in September took a dim view of biofuels, saying products made from food crops, such as corn and wheat, don't cut greenhouse gases by much and could take scarce food supplies away from the world's poor.

The proposal by France, which holds the rotating E.U. presidency, would require biofuels counting towards the 10% target to reduce greenhouse gases 35% compared with gasoline or diesel. After 2017, European biofuels would have to lower emissions by 50% - and 60% for facilities beginning operation in 2017 and after, according to the French document.

The Parliament's proposal would require biofuels to achieve savings of at least 45%. In 2015 and beyond, savings would have to be 60% to count toward the mandate.

The European Council, representing the E.U.'s national governments, said the greenhouse gas savings target should be 35% until 2017, after which it would be 50%, largely followed a proposal by the European Commission.

The European Parliament's top negotiator, Claude Turmes of the Green Party, is apparently opposed to the French compromise, a person familiar with the negotiations said. Turmes' office declined to comment.