The blast was reported around noon at Burbank Water and Power, located near the 5 Freeway.
No injuries were reported.
Burbank police said Pacific and Monterey avenues, between Brighton and Myers streets, were closed as first responders descended on the area of the 1800 block of North Lincoln Street.
Firefighters were seen knocking down the blaze around 12:40 p.m. Nearby structures did not appear to be threatened.
Access to some residential streets off of Victory Boulevard are also limited and/or closed, according to authorities. They were later reopened.
Police said some nearby areas may have experienced disruption to power after the explosion caused a power surge and rocked the surrounding area.
The cause of the explosion remains under investigation.