Yes there was a good amount of effort put into the animated version of the show. Unfortunately though, it just did not seem to meet the standards of the Fraggles that we all know and love so well. As Karen Prell had mentioned once, the animation had been done too quickly, which did not allow enough time to really fix things up and make it more beautiful.
The thing I want to know is why didn't they just together 13 episodes of the actual series and just show that on Saturday Mornings instead. Sure, cable rerun viewings were unheard of then (good ol' days and everything), and they wanted original programming.
I really think the major problems were the production deadlines. Could you imagine if they had a syndication weekday deal? 65 episodes? Could you imagine that quality? Worse than what we had. Then of course, there's the factor of originality... They basically continued what had happened in the series (and ignoring the original concept of the animated show by shoving Doc an Sprocket in there)... whereas, say Muppet Babies and Little Muppet Monsters had the same characters, but in different settings that really worked well in animation.
Of course, I have to say, FR has much better animation than Muppet babies had at the time. I think the second season TOEI really got a handle on the characters... but the last seasons Akom did... poor eye placement, bad depth perception (Kermit's eyes would almost be on top of each other in certain circumstances) and over all bad coloring and film development (Muppet Babies The Next generation... the scene where Scooter is angry that bean replaced him... it has a bad film quality that makes everything look purple).