NSW Labor is expected to adopt a series of motions that elevate the importance of Palestinian statehood and condemn Israeli settlements on the West Bank at the party's state conference on Saturday.
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Fairfax Media revealed tensions last month between federal Labor leader Bill Shorten and his deputy, Tanya Plibersek, over the government's decision to reclassify East Jerusalem as "disputed" rather than "occupied".
Ms Plibersek, one of the leading lights of the Labor Left, has backed the conference motion, as have senior power brokers in the NSW Right.
Mr Shorten is seen by many in NSW Labor as too close to the so-called “Israel lobby” and there has been disquiet in Labor ranks over his muted criticism of the federal government's terminological shift in describing East Jerusalem.
In the lead up to the conference, former foreign minister Bob Carr has successfully worked behind the scenes to bring together the Left and Right factions of the party to lock in support for a more sympathetic view of the Palestinian cause.
The resolutions state that all Israeli settlements are illegal under international law, describe East Jerusalem as occupied, and lock in place the policy shift Mr Carr put in place while foreign minister.
When Labor was last in government, Mr Carr rolled then prime minister Julia Gillard and successfully pushed for Australia to abstain on, rather than oppose, a vote that upgraded Palestinian status at the United Nations.
Of the 28 resolutions prepared, not one applauds or supports Israel, which is seen in Labor ranks as led by an increasingly hardline government and one that is increasingly isolated.
The resolutions underscore support for a two-state solution.
Opposition Leader Bill Shorten, who is currently overseas, is aware of the motions and that they are likely to pass.
He is due to address the conference on Sunday.
The resolutions come as fighting on the ground in Gaza intensifies, with an estimated 760 Palestinians and 32 Israeli soldiers dead after three weeks of fighting.
