You forgot to include the "preamble" to what he said, namely if Israel rejects a two-state solution and goes with annexing the WB. With that latter scenario, the Palestinians shortly would outnumber the Jewish population, thus creating a crisis of sorts. If Israel's resolve is to go one-state, then to keep Israel a Jewish state is to basically invoke apartheid-type laws whereas the Palestinians can vote only for local politicians and maybe one representative in the Knesset but not for president.
What I think is more possible is that the WB will remain a "territory" of sorts, thus the non-Jewish residents will not have a say or possibly only a very limited say in the Knesset, along with probably no say when it comes to the office of president. It is impossible for me to picture any other scenario because of the position of Likud and the various right-wing minority parties that Likud has had to rely on to form coalition governments.
When I take a look at a map of the WB and where the settlements are and where new ones are to be built, I frankly don't see any likelihood that the WB will be part of a Palestinian state, plus Likud would get nasty feedback from its cooperating parties if it did so. And to dissolve any significant number of settlements is to invite civil war.