With Gaza entering its fourth month of a serious energy crisis, the United Nations released a further $2.5 million from a pooled humanitarian fund to cover urgent needs in the Palestinian enclave.

"The serious decline in living conditions in Gaza continues," said UN Coordinator for Humanitarian Aid and Development Activities for the occupied Palestinian Territory (oPt), Robert Piper, in a press release.

The disbursement from the Humanitarian Fund for the oPt will bolster the UN's emergency fuel operation which primarily supplies fuel to generators to maintain operations in around 190 critical health, water and sanitation installations. Virtually all the two million Palestinians living in Gaza benefit from this fuel operation.

The funding will also provide essential life-saving medical equipment and supplies. Solar panels, cash assistance and agricultural supplies that are also included to improve food security and reduce food production costs for 2,200 small-scale farmers who irrigate by pumping from small wells.

Gaza has been experiencing a severe electricity crisis since mid-April, when the Gaza Power Plant went offline due to a factional dispute between the Palestinian Authority and the rival Hamas group in Gaza over tax rates for the fuel needed at the plant.

Power supply to households and services has barely covered 25 per cent of needs over the last six weeks.