Kerry and the EU get nowhere because they are petrified to confront the Palestinians and other Arabs. They limit themselves to demanding concessions from Israel because that is the easy way out. In the end, the conflict can only be solved by compromise on the core issues and the Arab Initiative doesn't allow for that.
Sunni Arab nations are 'Israel's allies,' says Israeli Foreign Ministry director general (JTA)
from the article: Memo to John Kerry: Israel/Palestine peace requires creativity