They don’t want a state and four times they turned one down. Israel owes them nothing.
And the mood is in Israel is to dig in and wait them out. Israel can afford to and the 20 year conversation about the Arabs has been exhausted.
There is not more Israel can do.
Here is the solution. Give the Palis Sinai. The governments of the world can work through the UN to create the society that they envision the world to become.
Use all the green technologies, down to vehicles that don’t operate on gasoline. They can use solar, hydroelectric and wind to power the country. Build desalination plants for water. They can farm, raise animals and become an exporter of products.
Here is the funny thing. If every Israeli left tomorrow and went to Sinai and the Palis were given Israel,, in ten years Sinai would be a paradise, Israel would be a sewer and the Palis would still want to destroy the Israelis.