Error when installing the EDA

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We have automation controller with internal DB already set up. We want to add the event driven controller (EDA). The automation controller and the EDA are on 2 separate VM's. When trying to run the playbook, it gives error about postgreSQL port 5432 on the EDA node. Is'nt the playbook supposed to install the DB on the EDA as well ?
The AAP version is 2.4 and OS on both the controller VM's is RedHat 8.8

Here is the part of the inventory file on automation controller.

[automationcontroller]
controller.fqdn.com

[automationedacontroller]
eda.fqdn.com

[all:vars]
admin_password='XXXXX'
pg_host=''
pg_port='XXXXX'
pg_database='XXXXX'
pg_username='XXXXX'
pg_password='XXXXX'
pg_sslmode='prefer' # set to 'verify-full' for client-side enforced SSL

automationedacontroller_admin_password='XXXXX'
automationedacontroller_pg_host='eda.fqdn.com'
automationedacontroller_pg_port=5432
automationedacontroller_pg_database='XXXXX'
automationedacontroller_pg_username='XXXXX'
automationedacontroller_pg_password='XXXXX'
automationedacontroller_controller_verify_ssl = false

VY

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