The PA is using the appropriate channel of the UN to let the nations of the world find a just settlement to the dispute. They would not have to do this if Israel was prepared to halt settlement building (which are universally regarded as illegal), but Israel is not interested in this - because its real goal is to maintain the status quo for as long as possible. You are suggesting that Israel should break international law (prohibition of acts of violence against other states and requirement to respect their territorial integrity) in order to force its own idea of how the conflict should be resolved. Which side here is acting inappropriately?
Netanyahu condemns West Bank arson attack, calling it 'terror' (Haaretz)
from the article: Fayyad to Haaretz: Palestinians are prepared for statehood