Misrata, Libya: Heavy shelling by forces loyal to Libyan leader Muammar Gaddafi killed at least four civilians in the besieged third city of Misrata, the scene of bloody clashes for more than 40 days.

Nato's role in the conflict came under renewed scrutiny and on the diplomatic front both the European Union and the African Union announced initiatives to help bring about a ceasefire.

The EU also announced it would rush aid to Misrata, helping to evacuate the wounded and provide food, water and medical supplies.

A source in Benghazi said four people, including two children, had been killed in Misrata and 10 wounded on Friday. "Gaddafi forces continue to fire blindly on the houses of Misrata," the rebel source said. "Today, four martyrs fell, including two children under age four."

Misrata, about 215 kilometres east of Tripoli and the rebels' last major bastion in the west of Libya, has seen fighting for more than 40 days since the start of the uprising against Gaddafi on February 17.

The clashes came as a debate raged over how well Nato air forces are enforcing a UN-mandated no-fly zone. Pressing the United Nations to allow a humanitarian mission, EU foreign policy chief Catherine Ashton sent a letter to UN Secretary General Ban Ki-moon saying the 27-nation bloc was ready to come to the aid of Misrata.

"Everyone knows that we must do something and in the coming days we will have a large mobilisation of the international community," a high-ranking European diplomat said earlier, speaking on condition of anonymity.