Okay, now I understand. It would indeed be required for you to have met the PP requirement as at the time of the new application. As far as I'm aware, there is no such thing as a PP waiver, and even if they understood and are sympathetic about the reasons for missing the oath ceremony (i.e. covid), my understanding is that there is no ability to "waive" the PP requirement, as it's written in statute.
Now I'm not a lawyer and if you wanted to discuss with one, by all means - there are things like ministerial discretion grants of citizenship, but I don't think those would really be viable (different purpose). But I could be wrong, and it's up to you to decide whether getting a consultation with a lawyer to determine if it's feasible/realistic/'worth it.'
But failing that, I think the PP waiver is probably going to be declined and the citizenship application refused. It should have no impact on future application when you have the physical presence days.
I have no opinion on whether it makes sense to withdraw the app as of today. When you apply in future, I'd include a short letter of explanation about the history of the first and second citizenshp apps (i.e. could not do oath due to covid travel restrictions, and applied mistakenly in 2024 thinking that there was some leniency about covid-related physical presence issues.)