I've had the same problem with server 2003. I usually create the folder where 
PostgreSQL is going to install into first, then change the permissions for 
"<machine name>\users" to full control before attempting to install.

-----Original Message-----
From: [email protected] [mailto:[email protected]] 
On Behalf Of Rakshit
Sent: Thursday, April 21, 2011 2:18 AM
To: [email protected]
Subject: [BUGS] BUG #5992: The database cluster initialisation failed


The following bug has been logged online:

Bug reference:      5992
Logged by:          Rakshit
Email address:      [email protected]
PostgreSQL version: postgresql-9.0.
Operating system:   Win 7
Description:        The database cluster initialisation failed
Details: 

While installing postgresql-9.0.3-2-windows it prompt the message at the end
that "Problem running post installation step. Installation may not be
complete correctly. The database cluster initialisation failed."

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