A violent gas explosion which set the rear of a utility on fire saw a major emergency service response on Frank Hayes Drive Tuesday morning.

Police, FRV, CFA and Ambulance Victoria crews arrived on scene around 10:30am after multiple calls to Triple Zero of a loud gas explosion.

A FRV spokesperson said FRV and CFA firefighters worked swiftly upon arriving at the fire involving an acetylene cylinder, to bring the incident under control within seven minutes.

Witnesses to the explosion were shaken up as scattered debris of the utility laid as far as 50m from where the vehicle was parked.

Emergency services set a 200m perimeter following the incident to contain the risk of a further acetylene explosion.

Tone Road was blocked between the Sisely Avenue and Handley Street intersections as police diverted traffic and notified people in nearby houses to stay indoors.

Neighbouring businesses were forced to evacuate.

Local contractors working at a nearby site assisted in diverting traffic from the incident at Frank Hayes Drive.

Firefighters were on scene cooling the tray of the utility into the afternoon, where it appeared an acetylene cylinder laid on its side while testing was conducted for evidence of gas leaks.

Sergeant Phil Pelgrim of Wangaratta police said acetylene had a tendency to reignite until it was cooled.

Sgt Pelgrim said no one was injured following the incident and police will investigate the cause of the explosion.

Anyone who witnessed the incident or with any information can contact Wangaratta police on (03) 5723 0888.