Keep Dunedin Beautiful co-ordinator Darlene Thomson came up with the idea and in October the group was granted a resource consent to paint murals on panels on the fence.
The group has the use of 75 panels which community groups, schools and individuals can apply for approval to paint.
About half of the panels had already been taken, Mrs Thomson said.
"It's a real succuss story.
"Lots of groups and individuals have embraced it.
"The response has been great."
• For information on painting a mural log on to: www.dunedin.govt.nz