The PLO's executive committee has approved a proposal allowing the Palestinian president to begin indirect negotiations with Israel, AP reported.
The talks will be through U.S. mediation.
President Mahmoud Abbas refuses to negotiate directly as long as Israel continues to build in its settlements in east Jerusalem and the West Bank.
Sunday's decision by the PLO leadership was expected after the Arab League gave the Palestinians political cover last week by approving the concept of indirect talks.
Both the PLO and the Arab League expressed skepticism about Israel's intentions, but said they want to give U.S. mediation a chance.
Renewed talks would mark President Barack Obama's first success in the Israeli-Palestinian arena.