Email new users account details

I'm working on a small website for a small walking/mountaineering club.
We would like to create accounts for our members using the admin site,
and automatically email their details. I've googled a bit, but it isn't
obvious to me if I can do this. Ideally, we would add a username (email
address) and email the user a random password which they change when
they first log in.

Is this a sensible approach, and how can I do this?

Thanks,
Ian

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