Thanks to all who replied, and all apologies for the multiple posting
(my fault).
The solution (in postgres 8.0.1):
Edit data/pg_hba.conf to contain the line:
local all postgres trust
Then su to unix user postgres and restart postges with:
> bin/pg_ctl restart -D /usr/local/pgsql/data -m fast
and finally, login to postgres with:
> psql -U postgres -d template1
and do
alter user postgres with encrypted password 'newpass';
Remove the line added to pg_hba.conf, and restart postgres again!
I'm a happy (and very relieved) camper.
Marc