Well actually I guess there is no common sense in what he's saying, since he's exiled himself because of the exile of the player's character.
IMHO he's trying to make himself a redemption but why ? I don't know.
If you're LS, just try to avoid any battle with him and make him go to Dantooine.
But if you're DS, you can either avoid the battle or kill him, but if you kill him you'll gain more power with the Force and you'll become a bigger echo in the force.
Peace is a lie, there is only passion.
Through passion, I gain strength.
Through strength, I gain power.
Through power, I gain victory.
Through victory, my chains are broken.
The Force shall free me.