Peter Jackson would be FINE as the director. Sure, there were elements of LOTR that I didn't like (Gimli as farting comic relief, catapults that defied physical law, no Tom Bombadil), but overall it was great. Way better than any earlier efforts: Bakshi's LOTR, or Rankin & Bass's The Hobbit and their ROTK.
I always prefer "the devil you know." The good elements of Jackson's LOTR were so very, very good (the Balrog, Hobbiton, the goblins, Galadriel, the music, the art direction), I would love to see him direct Tolkien's stories again.
Come on, Jackson! Let's go! I've got a parody I need to sell!