Israel has always used the security agenda as a cover to expropriate more land and water resources; if it was serious about a Palestinian state it would define even loose borders for this. Secondly, a declaration of Israel as a Jewish state can be used by Israel in the future to affect the right of return. Thirdly, if an agreement is signed Israel can eliminate Hamas if they are not party to the agreement, and separate Gaza from the W Bank permanently -thus rendering a Palestinian state much smaller and less powerful; this stipulation could take many twists and turns depending on Israel's current and future machinations.
18 Turkish journalists face prison for 'terror propaganda' (AP)
from the article: Israel and Palestinians clash over agenda for direct peace talks