Palestine is a separate territory from Israel, CK. The civil authority there may be happy to remain as a non-state entity. Or it may wish to declare sovereignty over their territory, once they can get the 'temporary' occupying army out. (You forget that little hurdle). It is up to them to decide. There is no schedule of limitations, they do not need to get into a lather rushing to decide anything. What Israelis think about the PLO's decision is irrelevant, Israel has no legal status at all in Palestine. Its occupying army can only be there temporarily and it's already well over time for it to pack up and get out.
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IAF chief Maj. Gen. Amir Eshel visit India as guest of local counterpart (Haaretz)
from the article: Comment / Settlers can stay, but only as citizens of Palestine