It's definitely their way to try reinvigorate the Ilum PvP scene. If that's gonna work, I don't know, but for the moment, there's definitely some PvP going on. By the way, Hassat, you should be getting a warning whenever you enter PvP areas. You get 10 seconds to get out of such an area if you don't want to be flagged.
For the non-PvP dailies you best not be flagged, since toons from the opposing factions are definitely going to hide out in the other faction's area trying to spoil up the fun.