Graphite is a much better conductor of heat and electricity than diamond. This is due to the fact that each carbon atom in graphite:
A carbon atom can bind up to 4 other atoms around it. However, in graphite each carbon atom only bonds to 3 others around it- this means there is an electron spare which becomes 'delocalized'.
This means that it is donated to form a common pool of electrons which can flow through the molecule carrying a charge and so conduct electricity.