Indonesia is the largest producer of seaweed contributed by coastal communities, but they still live in precarious conditions. To bolster the seaweed cultivation and alleviate poverty, a coastal community's empowerment was studied in Salabangka archipelagoes through the evaluation of its largely produced seaweed (Eucheuma cottoni) potency (total production and investment opportunities), suitability for seaweed cultivation (environmental parameter and suitability), and local participation (interviews) in 2011. Seaweed production in Salabangka archipelagoes was estimated from 2009 to 2010 data. For the investment opportunities of seaweed cultivation, initial investments were assessed for the medium-scale semi refined carrageenan (SRC) model and the Carrageenan industry model. Subsequently, the profit and loss were projected for the upcoming five years. To estimate the investment qualification, several criteria were used, i.e., Net Present Value (NPV), Internal Rate Return (IRR), Net Benefit Ratio (Net B/C), Pay Back Period (PBP), and Profitability Index Methods (PI). The factors that influence the local participation and perceptions of coastal communities in Salabangka archipelagoes were analyzed based on the degree of perception and participation obtained from interviews in substation sites. The seaweed potency reveals a good prospect indicated by the increase of seaweed production and profitable investment. The environmental condition and qualifications support the suitable habitat for seaweed cultivation. Local participation shows a good indication of the support of the coastal communities. In the future, the government must secure the policy, allocate funding, and forge a partnership with the local bank to bolster the seaweed cultivation in the Salabangka archipelagoes.
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