Prestonpans. A place famous for its Battle, its salt and the lowering power station at neighbouring Cockenzie. Not really well known for its art until now. Next week, this less well- frequented end of the East Lothian tourist route will be turned into a two-mile-long artwork, courtesy of the 3 Harbours Arts Festival.

Linked by a number of imaginative installations, the two-mile coastal route through Prestonpans, Cockenzie and Port Seton will light up the industrial part of the East Lothian Riviera and draw the eye to its hidden charms.

"The thing is, nobody really associates this area with art," admits local artist Adele Conn, who paints cows (not live ones, mind) for a living. "People think, why are you putting on an arts festival here? But there's a lot of hidden talent. It was just a question of finding an outlet."

This artistic flourishing should perhaps come as less of a surprise than it does, despite the area's industrial heritage.

After all, the east coast is remarkably blessed with the artists' holy grail, fantastic light (when it isn't submerged in haar) as the coastal towns of Fife, a little further north, awash with artists' ateliers, craft shops, galleries and festivals, attest.

Why not East Lothian? Co-founder of the festival, Andrew Crummy, believes that art can regenerate this slip of coast, but then, it's in his blood. "My mother used to be director of the Craigmillar Arts Festival, so I've seen it happen," says Crummy. When he confided his plans, his mother thought he was "mad".

"I'm just carrying on the family tradition," he smiles.

The idea for a festival came as Conn and Crummy sat on the beach one sunny week in 2005 painting some of Prestonpans' increasingly famous murals as part of the nearby Prestoungrange Festival. "We were getting a lot of locals involved in art classes, and found such a strong sense in the community of the historical industry. The artistic talent of this area clearly needed an outlet." But far from being a local festival for local people', the interpretation of the guiding festival principle - of remaining rigorously linked to the East Lothian ground from which it has sprung - is remarkably international. This year big artistic names with county links include Sandy Moffat and Calum Colvin, Richard Demarco and Wei Iuan.

Wei is already responsible for a mural in Prestonpans, and all the artists will produce some new work for the festival, from Ettie Spencer's fish installation in Port Seton harbour, to design company Black Light's lighting installations on Cockenzie Power Station, which can be seen from Edinburgh.

"The lighting installations and art installations in the harbours are the thing we're really very excited about this year," says Conn. "We've really expanded that side of the festival, and matched it with bigger literary and music strands."

The opening event tonight will include the "re-floating" of filled-in Prestonpans harbour, by arranging 1000 paper boats made by local school children on the grassy plateau, lit by Black Light to re-create the harbour in its heyday.

A drive down the coast, with stops at each harbour, should prove, literally, illuminating. "I've just come back from one of the schools in Prestonpans," says Crummy. "They've been making box-loads of boats. They've been going home at night and making hundreds. It's a real factory."

Conn, Crummy and their colleagues did not anticipate such success. The festival works on the very co-operative principle that it provides the venues and the artists promote their particular venue, which include local shops, offices and even front rooms, an idea the organisers developed after a visit to the Pittenweem Festival.

"People were rather reticent to get involved last year, " says Conn, "but it went so well, with £12,000 worth of local artwork sold, that we've got loads of people opening their homes and offices this year."

In addition to this eclectic Window Trail of exhibits, Cockenzie Power Station is the subject of a significant light installation. The panoramic canteen, glazed on three sides, is an impressive venue for the international artists, whose work will be mixed in with that of amateurs.

"We do have a curatorial aspect, but at the same time we have to be really careful because we don't want to turn away amateur artists. Everyone has to find a platform on which to exhibit. That's what the festival is about - being in the community.

"It's created a real buzz, and we want to keep that going. All we need now is for people to come along," she says. "And bring the kids!" Paper boats optional.