Install PostgresSQL in Ubuntu 12.04

Install the postgres software by

$ sudo apt-get install postgresql postgresql-contrib libpq-dev

Set up your password

Goto the postgres prompt

$ sudo -u postgres psql

Inside that you can set the password for the DB user postgres

ALTER USER postgres PASSWORD 'YourPassword';

References:
xtremekforever.blogspot
postgresql-password-authentication-failed-for-user-postgres

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