Postgres 8.4 on EC2 Ubuntu 10

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Basic Steps:

$ sudo apt-get install postgresql

and changed the password:

$ sudo su postgres -c psql template1
template1=# ALTER USER postgres WITH PASSWORD '<password>';
template1=# \q

The # symbol indicates that you are using the superuser account. Next we change the password for the database and Linux user called postgres. Use the same password as above to avoid confusion.

$ sudo passwd -d postgres
$ sudo su postgres -c passwd

Enter a new or same password as above.

Done

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