Australia has called on Russia to take a proposed ceasefire deal with Ukraine, while standing firm in its decision to consider sending troops for peacekeeping.

The foreign minister has responded after the Russian ambassador said there would be "grave consequences" for Australia if it joined a peacekeeping presence in Ukraine.

Russian President Vladimir Putin, dressed in military fatigues, ordered the swift defeat of Ukrainian forces in western Russia, a signal to the United States that Moscow holds the military initiative as they prepare to discuss a ceasefire on Thursday.