The United Nations lacks the funds needed to help Ukraine through the winter, as Russian bombardments have wiped out half the capacity of the power grid, the UN's refugee agency said Thursday.

"The reality is that the funding situation for organisations like ours is far too low at this time of the year -- we are 47-percent funded," UNHCR's Representative in Ukraine, Karolina Lindholm Billing, told AFP.

Ukraine is bracing for a difficult cold season after Moscow's bombing campaign has ravaged its critical infrastructure.

"The expectations and asks from the authorities for support from organisations like UNHCR is actually increasing," Lindholm Billing said.

Ukraine currently has some 3.6 million internally displaced people, but advances by the Russian army in the eastern Donetsk region and an increase in air strikes are forcing more to flee their homes.

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"Almost 99,000 people have been evacuated or fled from frontline villages in Donetsk region since August 1," Lindholm Billing said.

The UNHCR assists local Ukrainian organisations to house those displaced and helps the most vulnerable with supplies to help get them through the winter.

Around 650,000 people receive aid such as warm clothing or kits to better insulate their homes.

"If we can get the funds, I am convinced we'll be able to help them," said Lindholm Billing.

European officials in countries neighbouring Ukraine fear that unless there is urgent help to fix power supplies there could be a new wave of refugees entering the EU this winter.

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UNHCR since the summer has seen increasing numbers of people citing power cuts or lack of electricity as a key reason for leaving the country.

A sharp increase in Russian strikes and a harsh winter could see a big leap in the numbers fleeing, said Lindholm Billing.

"So the main message is that it's critical that Ukraine receives support to repair damaged energy infrastructure, to create decentralised energy generation capacity," she added.

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