ORA-12664: Services required by server not available on the client
Cause : Service(s) that was (were) required by the server process were not available on the client process.
Action - How to fix it : DBA Scripts :: www.high-oracle.com/scripts
Configure the client with the services required by the server (best solution) or delete the requirement from the configuration file of the server (least secure).
Well, the reason for above error is that i have taken the above script from a 11g database and running it on 10g database. 11g has bring some changes in password management. Below code is executed on 11g and user created successfully, which is expected result.