NullReference Exception

I have been working on 'TheLorax’s Jump Start Tutorial, (http://forum.unity3d.com/viewtopic.php?t=28433) and i am on the final part (explosions when the enemy crashes into the player) and at this point the game pauses and it says…

'NullReferenceException: The prefab you want to Instantiate is Null.

var playerSpeed : int;

var playerLives : int;

static var playerScore : int;

var bullet : Rigidbody;

var explosion: Transform;

function Update () {

//amount to move playerSpeed
amtToMove = (playerSpeed * Input.GetAxis("Horizontal")) * Time.deltaTime;

//move/translate the playerSpeed
transform.Translate(Vector3.right*amtToMove);

//Fire weapon
if(Input.GetKeyDown("space")){

var tempBullet: Rigidbody;

tempBullet = Instantiate(bullet, transform.position, transform.rotation);

}

}


function OnGUI(){

GUI.Label(Rect(10,10,200,50), "Score: " + playerScore);

GUI.Label(Rect(10,30,200,50), "Lives: " + playerLives);

}

function OnTriggerEnter(otherObject:Collider){

if(otherObject.gameObject.tag == "enemy"){

otherObject.gameObject.transform.position.y = 7;
otherObject.gameObject.transform.position.x = Random.Range(-6,6);

var tempExplosion: Transform;
tempExplosion = Instantiate(explosion, transform.position, transform.rotation);

playerLives --;

}


}

Apparently the error is at line 47,anyone got any ideas on a fix, as everything has been working up until now, and Im pretty close to completeting it.
tempExplosion = Instantiate(explosion, transform.position, transform.rotation);

Hope someone can help,
Many Thanks.
Soldier_Jaqqson

Did you set the temp explosion transform in the hierarchy?

Should I have? and how would I go about that?

 tempExplosion = Instantiate(explosion, transform.position, transform.rotation);

You need to drag a prefab to the explosion slot in the inspector. Unity is complaining as you’re trying to instance a prefab, but there’s no prefab to instance.

Alright, Really Appreciated and thanks for helping so quickly.

Thanks again,
Soldier_Jaqqson.