In this paper, an Arduino and a GSM based smart prepaid energy meter has been proposed. Units are purchased by using GSM technology and those units are deduced according to electricity usage. This project presents a single-phase energy meter for domestic consumers with prepayment billing method. The present project "IOT Based Smart Energy Meter" addresses the problems faced by both the consumers and thedistribution companies. The paper mainly deals with smart energy meter, which utilizes the features of embedded systems i.e. combination of hardware and software in order to implement desired functionality. Figure 3shows the hardware snapshot of proposed GSM based smart energy meter. Due to unavailability of IC AD7751, a digital energy meter is used. The purpose is only to produce energy pulses. Figure 4 shows the database at the service provider. For simplicity now it shows only the energy consumption details of a single user. Figure 4: PC Display designed based on the use of energy smart meter to read electrical energy consumed to get an accurate r eading. Then the energy m eter r eading is sent to the contr ol center in t he electricity The smart energy meter monitoring system is shown in figure 1. The block diagram consists of Arduino, energy meter, WIFI module and IoT, Relay and transformer. Fig.1 Smart energy meter Energy meter used here is clamp energy meter .230V AC mains is the input given to the transformer and AC mains is converted to low voltage. monitor and record the energy meter. This can be achieved by using microcontroller. Figure 2 show that microcontroller unit is interface with energy meter and LCD. Microcontroller unit continuously monitor the energy meter and pulses display on LCD. That's give the information of power consumption in a house. A GSM-based Energy Recharge Interface which contains a prepaid card equivalent to a mobile SIM card. The prepaid card communicates with the power In India, the State of West Bengal has decided to introduce the smart card operated prepaid energy meters in remote islands of Sunder bans. In Mumbai, pre-paid power is provided by the GSM is an open and digital. cellular technology used for transmitting mobile voice and data. Services operate at the. 850MHz, 900MHz, 1800MHz, and 1900MHz frequency bands. GSM technology was developed as a digital system using the time division multiple. access (TDMA) technique for communication purposes. Key Words: GSM-based Energy meter, GSM-based Water billing meter, Gas Leakage Detection, Automatic meter reading (AMR). 1. INTRODUCTION Life's content is maintained by an indispensable requirement that is electricity. For around 10 years advanced energy meter innovations have been explored. Over the decades, a lot of advancements took place III. How to take the pulses from the energy meter Since we have used the STATIC ENERGY METER for the project purpose, in that we have to take the pulses out for the calculation of the consumption by the loads. We have coupled the static energy meter with the microcontroller using the OPT coupler, the Cal led of the meter is replaced by the GSM is a cellular network which means that compatible devices connect to it by searching for cells in the immediate vicinity. cycles. Four diodes can be arranged to make a full wave bridge rectifier. Different types of filter circuits are There are five different cell sizes in a GSM network viz. Macro, from a rectifier. GSM is a ce