Arcing faults in power systems are often associated with electromagnetic (EM) radiations which propagate through air as medium. Without using conventional methods to detect and locate these arcs, this paper proposes a new approach of radio measurement. Power arcing faults can be located via wideband signals emitted from the arc source point with aid of strategically placed antennas. However due to the fact that the existence of free space noise interferences can affect the integrity of the signal of interest, in this paper we propose a wavelet analysis approach to pin point the arc, EM radiation source, and minimize the effect of the free space noise. The approach is tested in an experimental setup, and from the test results, the proposed method shows its potential as an arc fault localization tool which could supplement the existing conventional protection devices in power systems networks.