Some points are well and can be benefit for PlpgSQL.
First I describe my initial position. I am strongly against introduction "new" language - plpgsql2 or new plpgsql, or any else. The trust of developers to us is important and introduction of any not compatible or different feature has to have really big reason. PostgreSQL is conservative environment, and PLpgSQL should not be a exception. More - I have not any information from my customers, colleagues about missing features in this language. If there is some gaps, then it is in outer environment - IDE, deployment, testing,
I forgot - the big plpgsql issue are too weak expressions on left part of assignment statements.