Oh and the stock Gallery app does work with Picasa sync if you don't use Google Plus. Just remove the Google Plus app.
Also there is a bug with the latest Google Plus which is causes all synced images to show black. I hope they fix it.
Completely the other way round here - I can see my album titles and pictures in Google+, and album titles with black images in the ICS Gallery.
I've tried signing out of Google+ and rebooting, but I still only get black images in Gallery. Any ideas?