A blown fuse proximity sensing device 40 is for use with a rectifying wheel 37 of a type including rectifying diodes 38 and associated fuses 42. Each fuse 42 may include a housing 51, a fuse element 52 carried by the housing, and a pop-out indicator 54 movable between a normal position and a popped-out position. In the popped-out position, the indicator 54 extends outwardly from the housing responsive to failure of the fuse element. At least one stationary proximity sensor 44 is mounted adjacent the rectifying wheel 37 for sensing positions of the pop-out indicators 54 without contact therewith during rotation of the rectifying wheel to thereby sense at least one blown fuse. The sensing device 40 may also include a local display 61, and a controller 68 connected to the stationary proximity sensor 44 for generating an indication of a blown fuse on the local display. The controller 68 may also generate at least one remote output, such as to be monitored by other plant control equipment.