@jbudd not being able to drag the panel out of existence is a deliberate choice at this stage - as the current work doesn't support having the sidebar split, but only show one of the panels.
I'm still evaluating how well this UX works; it feels like there's a lot still to get right around the behaviour of the panels.
I'm also still wondering whether allowing panels to be dragged to the LH side is a good idea or not. I'm sure there will be those who welcome this level of flexibility. But it is leading to a number of UX compromises that aren't working for me yet.
We still want to have the Explorer and Palette on the LHS side - focussing on the well structured information hierarchy that @dimitrieh talked about in his comment here. That doesn't mean it has to mirror the UX of the RHS.
Thinking about the newcomer to Node-RED, they aren't interested in customising the layout on day one and want to just use Node-RED. It's important for it to work well for them.