TheCubicWebBook #541389: installation from debian package [rejected]

I got this:

Creating the system database
----------------------------
-> connecting to postgres database template1@localhost as aurelien
Traceback (most recent call last):
 File "/usr/bin/cubicweb-ctl", line 4, in <module>
   run(sys.argv[1:])
 File "/usr/lib/python2.5/site-packages/cubicweb/cwctl.py", line 862, in run
   main_run(args, __doc__)
 File "/usr/lib/python2.5/site-packages/cubicweb/toolsutils.py", line 250, in main_run
   base_main_run(args, doc)
 File "/usr/lib/pymodules/python2.5/logilab/common/clcommands.py", line 136, in main_run
   cmd_run(arg, *args)
 File "/usr/lib/pymodules/python2.5/logilab/common/clcommands.py", line 119, in cmd_run
   command.run(args)
 File "/usr/lib/python2.5/site-packages/cubicweb/server/serverctl.py", line 305, in run
   encoding=source['db-encoding'])
 File "/usr/lib/pymodules/python2.5/logilab/common/adbh.py", line 368, in create_database
   cursor.execute(sql % locals())
psycopg2.DataError: new encoding (UTF8) is incompatible with the encoding of the template database (SQL_ASCII)
HINT:  Use the same encoding as in the template database, or use template0 as template.

It would be nice if the right steps were documented wrt postgresql setup.