You'd have to jailbreak it to install and run the apache web server if you wanted it local.
You can try hacking external devices like the Seagate Satellite and set it up as a full webserver:http://www.hackseagatesatellite.com/...4-lighttpd.pdf
You could always get a cheap iPod Touch, jailbreak it, install Apache/MySQL etc, drop your website on it, get it to act as a wifi hub and connect the iPad to it (battery probably won't last long though).
The easiest option by far is to make sure the iPad has an available network connection and just put your site on a testing server. Connect over 3G if you have a 3G iPad or get a mobile hotspot like the following:http://reviews.sprint.com/5611v2/248...ws/reviews.htm