Destroy the source by clicking on the pole at ( -1128, -523, -1656 ) Copy/waypoint -1128, -523, -1656. The pole is hard to see and you have to fight your way near to the tower on ground level to reach it.
The location of this update was changed after the 3/8/2011 hotfix. From the patch notes: "The magical focus for the quest "Power From the Tower" has been moved outside. This is to make the quest more easily soloable, and bring this quest in line with the other Deepwater Circle quests."
The reward "Deepwater Circle Highboots" is an appearance only item.
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