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You still need a ground wire to complete a circuit. The ground wire can arc just as well as the hot side can when you have power.

If it's the battery cable,

the ground cable is loose on the battery it can arc from the cable to the battery post and melt the wire if a big enough voltage with a lot of amps draws on it, like starting your car or truck has.

If the ground cable was corroded bad the wires that make up the cable can corrode away so you only have a few left so when you have enough draw you can also melt the wires that are left.

If you have a constant high amperage draw for a long time it will also melt. In most cases the battery will die before that happens on a good system.

If it's just a general ground wire to a device,

the connection will also get hot or melt the wire if it's loose or corroded bad.

Make sure there isn't worn out insulation that is rubbing on a peice of metal that may be shorting it from the vibration of the car.

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Q: Why ground wire burn up its connected to neg battery?
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