Under the terms of the EU's Renewable Energy Directive (RED), EU member states are required to source 10% of transport energy from renewable sources, mainly biofuels, by 2020. We also have another law, the Fuel Quality Directive (FQD), that has a carbon intensity reduction target of 6% until 2020. The FQD and RED include ‘sustainability criteria’ that dictate the minimum CO2 savings biofuels should achieve compared with fossil fuels in order to qualify for the scheme (and receive state subsidies). These criteria account only for the emissions that occur when land is converted specifically to grow biofuel crops (direct land-use change). However it does not currently contain measures to calculate the impact of indirect land-use change (ILUC). The European Commission proposed in October 2012 to introduce mandatory reporting of ILUC emissions, thereby acknowledging the climate impact of indirect emissions from biofuels. However, because it didn't include “ILUC factors” as part of the sustainability criteria, the Commission missed the opportunity to correctly account greenhouse gas emissions for biofuels and steer bioenergy production in a sustainable direction. Instead of correct accounting, the Commission proposed to limit the consumption of biofuels from food crops to current levels of around 5% of the target.