Israel is always ready to "punish" the Palestinians for attempting to put their own interests before Israel's interests, as Abbas is seeking to do with the statehood bid. Normally Israel would "ounish" him rather than "reward" him without even giving it any though. The problem is that Hamas is on the ascent after the Shalit affair and Israel needs to bolster Abbas to counter balance this effect. What the Knesset is wrangling about now is to seek a method to punish both Hamas and Abbas. This is the topic much loved in the Knesset. Punishing Palestinians. Sadly, in the case, Israel cannot punish both factions at once. Either Abbas or Hamas must be rewarded.
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from the article: IDF recommends freeing Fatah prisoners as gesture to Abbas