This work examines different aspects the current use of biofuels in the EU transportation sector. It focuses on the sustainability aspects and examines different influences, which biofuels have on the humankind, nature and the environment. The production process of biofuels has several effects on sustainable future of the mankind such as the increase of food prices, deforestation or depletion of the ozone layer. In addition, biofuels have proven to be not greenhouse-gas neutral, as it was claimed at the beginning of their production. There are three main groups of factors which have influence on the greenhouse-gas emissions of biofuels: indirect land use change, use of fertilizers and other factors. When all these factors are considered in the Lifecycle analysis, the greenhouse-gas emissions of biofuels are approximately 245 per cent higher than emissions of fossil fuels.