Why do I get "No handlers for No handlers for package.xml version 2.0" when I try to install a package?

You are using a PEAR version lower than 1.4.0.

To install the package, you have to update PEAR via:

$ pear upgrade PEAR

This will install the latest available version of PEAR which is capable of installing packages that have only a package.xml version 2.0.