Noting that Libyan government troops are disregarding a UN ceasefire order, Secretary-General Ban Ki-moon warned of further action if Muammar Gaddafi dose not halt the violence.
Ban said that his is special envoy to Libya, former Jordanian foreign minister Abdelilah Al-Khatib, told the Libyan regime that the Security Council may be prepared to take additional measures.
In his update, Ban told the Security Council that despite assurances by the Libyan government, a ceasefire did not appear to be in place.
"To the contrary, fierce battles have continued in or around the cities of Ajdabiya, Misratah and Zitan, among others," he said, adding that there is no evidence of Libyan authorities carrying out their obligations under either resolution.
Ban said that 335,658 people have left Libya since the beginning of the crisis and up to 250,000 people could still be expected to flee.
"We have serious concerns, however, about the protection of civilians, abuses of human rights and violations of international humanitarian law, and the access of civilian populations to basic commodities and services in areas currently under siege," he said.
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After speaking to the Council, Ban also told journalists that there is an urgent need for humanitarian access, but Libyan authorities have not permitted a need-assessment team in the country.
Ban also reiterated that the objective of the UN was to protect civilians and not regime change.
"Because Colonel Gaddafi has been killing his own person, that is why the Security Council has adopted that resolution," he said.
On February 26, the Security Council slapped sanctions on the Libyan regime including an arms embargo, an asset freeze and travel ban on Gaddafi and his loyalists, and a referral to the Hague-based International Criminal Court.
Last week, the Security Council called for an immediate ceasefire, establishing a no-fly zone and authorised "all necessary measures" for protecting civilians in Libya from Col Muammar Gaddafi's forces.
India, China, Russia, Brazil and Germany abstained from voting on the resolution, which was co-authored by Britain and France.
On Thursday, the US said that it is handing over command and control of the no-fly zone over Libya to NATO.
So far, the operations were being carried by US led coalition including Britian and France.
Gerard Araud, the French envoy, told journalists that military intervention in Libya had been successful in stopping a "massacre" in the eastern city of Benghazi and a no-fly zone is in place.
Ban said that 11 countries have notified UN that they are implementing the resolutions: Britain, France, the United States, Denmark, Canada, Italy, Qatar, Belgium, Norway, Spain and the United Arab Emirates.