Try using \e to set the client encoding.
Rasmus wrote:
> An example of the problem:
>
> 1. Create a table directly in psql:
> create table tmp(a int);
>
> 2. Write this directly into psql:
> CREATE VIEW tmpview AS SELECT T.a FROM tmp T WHERE T.a > 100;
>
> Notice that this works fine.
>
> 3. Make a ISO-8859 text file and paste exactly the same text into it:
> CREATE VIEW tmpview AS SELECT T.a FROM tmp T WHERE T.a > 100;
>
> 4. Do:
> \i <the file>
>
> Notice that psql now gives an error:
> psql:/tmp/tmp.sql:1: ERROR: parser: parse error at or near "t"
>
> Damn! :-(