HIGHLIGHTS·  Winterization: As sub-zero temperatures were experienced in the crisis-impacted areas of Ukraine in January 2016, 14 Shelter/NFI partners continued the implementation of their winterization programs. 9,850 internally displaced and most-vulnerable non-displaced conflict-affected households benefitted from life-saving NFI distributions (including blankets, coal, sleeping bags, candles, wood, mattresses, clothing, heaters, lanterns, and water coils). Insulation of damaged households was an urgent priority with window repairs and replacements conducted in addition to the distribution of 35 emergency shelter materials kits including tarpaulin, plastic sheeting, and wooden battens. To ensure that conflict-impacted households have at least one warm room, 6,585 winterization cash grants were also distributed to beneficiaries in Government Controlled Areas to enable them to afford cost of utilities or necessary shelter and NFIs which would enhance their resilience during the winter period.·  Luxembourg Red Cross Pilot Project: The Luxembourg Red Cross and the Ukrainian Red Cross rebuilt 10 homes through a seed core pilot project. The homes had been damaged or completely destroyed during Cat 3 military actions. Beneficiaries, selected in partnership with the local city council, included the elderly and most vulnerable families. To achieve efficiency and meet immediate shelter needs, the project parameters stipulated a livable portion of the previously existing home. Rubble and destroyed materials were removed from the site. Once the foundation was cleaned and visible, an arrangement was made with each individual homeowner as to which portion of the home would be reconstructed. The mission statement indicated to rebuild the kitchen, the bathroom, and a living space/sleeping room. In the field, this objective changed to include, at the owner’s insistence, construction of the full shell of the building. Four seed core models were built. Six full footprint shells were constructed. By the end of the project, each house was complete with basic furniture and infrastructure in addition to the appropriate heating systems to ensure sustainability·  Trainings: In January, the cluster team in partnership with UNHCR protection team conducted two training sessions related to Collective Centers and durable solutions. Both workshops were organized by CrimeaSOS and involved different staff profiles, the first one targeting Ministry of Social Policy field staff and the second dedicated for Regional Ombudsman in charge of IDP response.·  Donetsk/Luhansk regional budgets and subsidies: Donetsk and Luhansk authorities have released their regional budgets on subsidies for electricity, gas, heating, water supply, communal service payments and waste removal. Additionally, on the 4th of February, the Government of Ukraine issued Resolution #63, extending its warm loan program by .5 billion UAH. This plan will cover 21,360 households with support to purchase energy efficient boilers and aim to increase the energy efficiency of 127,730 households and 2,208 multi-story apartment owner associations. This plan could have a significant impact on the housing conditions of non-displaced persons residing near the contact line.