Israeli forces started evacuating all residents from Gaza settlements after a midnight deadline for them to leave passed, AFP reported.
The Israeli army said the operation was going smoothly, with less violence than expected.
But a Jewish settler opened fire on a crowd near the northern West Bank settlement of Shiloh, killing three Palestininas and wounding more than two others, AFP reported, citing medical sources.
Security officials said the man seized the gun from a security guard in the industrial zone of Shiloh.
Israeli Prime Minister Ariel Sharon described the attack as a “Jewish terror act”, while Palestinian President Mahmoud Abbas branded it "a terrorist incident”. Both leaders said the attack aimed at disrupting Israel’s withdrawal from the occupied territories.
Earlier Wednesday, thousands of Israeli soldiers, backed by bulldozers, marched into several settlements after Sharon issued final orders to evict all remaining settlers from Palestinian territory.
“The prime minister and minister of defense (Shaul Mofaz) have ordered that today, August 17th, 2005, the evacuation of the residents of the Gaza Strip will commence,” an army statement said.
On top of the list was the Neve Dekalim settlement in southern Gaza, a flashpoint of resistance where thousands defied army orders to leave their homes voluntarily or face forcible eviction.
About 10,000 security soldiers were deployed in Neve Dekalim after violent clashes with settlers broke out yesterday.
A military spokesman said troops moved into at least four other southern settlements, Morag, Tal Katifa, Ganei Tal and Bedolah.
Soldiers were seen evacuating settlers and loading their belongings onto buses, BBC reported.
However, troops were unable to fulfill their mission in some areas due to fierce protests from mainly young settlers. There were reports of scuffles and a number of arrests.
The Israeli army said that despite fierce resistance from pullout opponents, the evacuation process could be completed within days rather than weeks.
“We planned at the outset for three weeks, but it will take much shorter than that,” said Eival Giladi, an official in the office of the withdrawal plan’s strategic coordinator.
Meanwhile, Sharon warned the settlers against resisting the troops. "I want to appeal to everyone not to attack the police and ... soldiers and not to blame them or make things difficult for them," he said in a TV interview.
"Attack me. I am responsible for this. Attack me. Blame me," Sharon said.
On the Palestinian side, Mahmoud Zahar, a Hamas leader, praised the withdrawal, but said that the Palestinian resistance will intensify if Israel expands its settlements in the West Bank.
In other developments:
- Israeli forces prepare to storm the gates of the Shirat Hayam settlement
- A first bus carrying settlers who were forcibly evacuated was seen crossing into Israel
- Demolition of houses started at the Nissanit settlement, Reuters news agency reported
- AP news agency said that all residents left the settlements at Dugit, Peat Sadeh and Rafiah Yam
- Israeli media reported that all inhabitants of Ganei Tal and Tel Katifa agreed to leave peacefully
- Mahmoud Abbas set up a working group to co-ordinate the smooth takeover of the evacuated settlements. Reports say the group will include members of Hamas and the Islamic Jihad.
Israel is evacuating all 21 settlements in the Gaza Strip.
Four other enclaves in the northern West Bank are also being dismantled. Officials said that settlers already left two of them, the Ganim and Kadim settlements.
The Israeli army has mounted a force of 40,000 mostly unarmed soldiers and police for the withdrawal.
Thousands of Palestinian security forces have also been deployed around the Gaza Strip.