After a bit of searching on easy ways to implement code highlighting on Blogger I found a few sites like Sandro's that used Google's code prettify.
I added the following lines to the head section of the blogger template.
<link href="http://google-code-prettify.googlecode.com/svn/trunk/src/prettify.css" type="text/css" rel="stylesheet" /> <script type="text/javascript" src="http://google-code-prettify.googlecode.com/svn/trunk/src/prettify.js"> </script>
Then I change body tag in your template to include
onload="prettyPrint()":> ... <body onload='prettyPrint()'> ...
Now all you have to do when you want highlighted piece of code in your blog is to use.
<pre class="prettyprint"> ... # Your code goes here </pre>
There is another style which includes line numbers that I may try in the near future.
An example can be found here.
