I need to find the planar embedding of a graph in general if one exists and specifically want to solve the problem for the graph in the figure below. I am acquainted with the graph algorithms but have much less knowledge of the sound mathematical theory underlying graphs. It would be great if someone could throw some light on this.


I can't find any reference for the definition of a face I have always used (it goes into half-edges and half-edge orderings and stuff), but I shall try to explain how you can tell whether the graph has a planar embedding. (I hope it is clear enough!)
Pick a vertex, and travel along some edge. When you get to the next vertex, take the next edge clockwise round the vertex, and repeat, until you are back at your start vertex so that you would repeat the path if you carried on (you might get back to the start but carry on elsewhere!). This has given you the boundary of one face. Pick some other vertex, and do the same, finding another face. This process shall repeat until you have traversed each edge twice, once in either direction. You should not have to traverse an edge more than twice! (or once in the same direction). Once you are done, you know how many faces the graph has (how many of these closed paths there were).
So now you will know how many edges, vertices and faces the graph has, so now you can apply the formula $\xi = V-E+F=2-2g$. If you solve to get $g=0$, then the graph has a planar embedding, and not otherwise.