By Nidal al-Mughrabi GAZA, March 14 (Reuters) - Explosions damaged or destroyed two houses in the Gaza Strip on Wednesday in renewed factional fighting as negotiations over a Palestinian unity government dragged on. Members of Hamas's Executive Force attacked a house with rocket propelled grenades near Gaza City, not far from where unidentified gunmen on Tuesday shot dead a member of the group's armed wing, local residents said. Hamas blamed security forces loyal to Palestinian President Mahmoud Abbas of Fatah for the killing of Ala al-Haddad, Gaza City commander of Hamas's armed wing, the Izz el-Deen al-Qassam Brigades. Fatah denied any responsibility. "We are innocents," said Naeema Khalifa, who owns the house that was destroyed by the Executive Force. She said the house was not used by rival gunmen who carried out the attack. "Nothing was left. Even the clothes were burnt," Khalifa said. There was no immediate comment available from the Executive Force. In northern Gaza, a powerful bomb was detonated outside the house of a Fatah supporter, causing damage but no injuries. Members of the family had blocked nearby roads in protest. The flare-up in violence came as Abbas and Prime Minister Ismail Haniyeh of Hamas tried to settle their remaining differences over formation of a power-sharing government. The biggest dispute is over who will serve as interior minister, a position that controls security services. Under the agreement concluded in Mecca, Hamas will choose the interior minister but Abbas has a veto. Both sides expressed hope that a deal was within reach after Haniyeh presented Abbas with three new candidates for the post. Officials said a deal could be reached as early as Thursday. The two leaders would meet again on Wednesday for more discussions over the political platform of the new government, officials said. Sporadic fighting has continued despite a unity government deal, signed in Mecca, Saudi Arabia, last month. Israel has vowed to boycott the unity government, including non-Hamas ministers, unless it recognises the Jewish state, renounces violence and accepts interim peace deals as demanded by the Quartet of Middle East mediators. The unity government agreement contains a vague promise to "respect" previous Israeli-Palestinian pacts. It does not commit the incoming government to abide by those pacts, nor to recognise Israel and renounce violence as demanded by Quartet partners the United States, the European Union, the United Nations and Russia.
