With all due respect, in my personal opinion this condition is impossible if the fuse current is properly chosen. By "properly chosen" I mean a 10 amp fuse on an 18 ga. wire (whose ampacity is at least 13 amp), for example.
The reason I believe the above condition is impossible is that the minute the fuse breaks under a load of >10 amp (in my example), the resistance goes to infinity (for all practical purposes), which causes the current to drop to 0 in the wire. The proof is Ohm's law (V=IR). The key is to always always always always match your fuse size to your minimum wire ampacity.
Here's one of many sources for an ampacity chart. The charts may be assumed to be quite "conservative", but it's best to stay within their guidelines.
In other words, as long as you use common sense in selecting your fuse and wire sizes there is no difference in safety between a fuse mounted 20 ft. from the battery and one mounted 1 inch from the battery.
This is purely my opinion, based on my own research. I'm not trying to be mean or rude to anyone, and everyone is certainly entitled to their own opinion. I urge each reader to do their own independent research and decide for themselves whether I'm full of it or not. I am not an electrical engineer or electronics technician.
-Ryan