TEL AVIV Ñ Israel's military has received a green light from the government for a sustained offensive against the Palestinian Authority.

Prime Minister Ariel Sharon addressed Israeli commanders and told them the current offensive would comprise several stages. He did not elaborate.

Palestinian sources said PA Chairman Yasser Arafat was planning a coordinated response using Fatah, Hamas and Islamic Jihad forces, Middle East Newsline reported.

Israeli military sources said the government of Prime Minister Ariel Sharon has approved plans that would ensure continued missile and bombing attacks on PA targets. The sources said the round of air attacks on West Bank and Gaza cities on Tuesday was only the start of the military offensive.

Air operations were suspended overnight Wednesday because of the storm that struck the Middle East. The sources said the military would wait for another day to determine whether the PA has launched a crackdown against Palestinian insurgents before resuming attacks. So far, the sources said, the Israeli air attacks have not affected the military capabilities of the PA or Palestinian insurgency groups.

On Tuesday, Israeli attack helicopters and combat jets struck PA and Fatah targets in Gaza City, Khan Yunis and the Jabalya refugee camp, Ramallah, Salfit and Tulkarm. The attacks focused on the PA security infrastructure rather than on Palestinian combatants. Palestinian sources reported that two Palestinians were killed in the Israeli attacks on Gaza.

Among the infrastructure destroyed was a landing strip at the PA airport in Dahaniya in the southern Gaza Strip. The airport was used for international flights to and from Gaza. Israeli troops also entered the outskirts of Nablus and Ramallah.

Military sources said neither Hamas nor Islamic Jihad strongholds were targeted. Both groups have claimed responsibility for a series of suicide bombings in Israel.

"The two groups are secret organizations and not suitable for air attacks," Brig. Gen. Ron Kitri, the chief Israeli military spokesman, said.

Meanwhile, Palestinian insurgents have struck back with a new suicide bombing attack against Israel.

The bombing was reported on Wednesday outside a downtown Jerusalem hotel and came as Palestinian insurgents ignored the warnings of Palestinian Authority Chairman Yasser Arafat to end attacks against Israel. Israeli authorities said eight Israeli passersby were slightly injured in the morning attack.

The bomber, identified as a member of Islamic Jihad, was killed. Two Israeli ministers were staying overnight in the hotel.

Palestinian sources said the Fatah movement, the largest of the Palestinian insurgency groups, is expecting an order from Arafat for a wave of attacks on Israeli positions. The sources said Fatah will operate in coordination with Hamas and Islamic Jihad.

"If they kill our children, we will kill theirs," Hamas military commander Abu Al Said in Bethlehem said before the attack. "If they kill our women, we will kill theirs. If they kill our leaders, we will kill theirs."

Despite a PA ban, Palestinian gunmen were seen parading their weapons in West Bank cities as gunners continued to fire mortars and automatic weapons toward Israeli targets. PA officials said they could not enforce the ban amid Israeli air attacks on their installations.

"There is no way the Palestinian Authority can continue the arrests amid the Israeli attacks," Fatah commander Hussein Al Sheik said. "We can't keep them in jail while Israel bombs PA installations."

On Sunday, the PA announced that it was banning unauthorized demonstrations and the display of unlicensed weapons. PA security chiefs also warned against attacks against Israeli targets.

PA officials said the crackdown would be temporary and so far Arafat has not targeted senior insurgency commanders. The officials said Arafat does not want to ignite the Palestinian opposition against his regime.

At the same time, the official Palestinian media continued to urge insurgents to end attacks against Israel. On Tuesday, Arafat was reported to have suspended the PA security director in Tulkarm, Col. Mohammed Awadallah.

Awadallah was said to have released Palestinian insurgents from prison without consulting the Palestinian leadership.

The Palestinian Wafa news agency called on Palestinians to "cease taking any action that might harm the Palestinians and the Palestinian case and the legitimate struggle, and to stop all actions against civilians that provide the Israeli government with excuses to launch these attacks, and means to gain the international sympathy on the expense of the defenseless Palestinian people."

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