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Electricity Energy Meter is a good concept in which you can recharge its balance, like we do in our mobile phones. In this project we are building an automated system by using 8051 microcontroller and GSM module. The main objective of the project is to develop an energy meter that informs the consumer the exact consumption and billing that the load consumes through SMS. For this project, we have taken a standard electronic energy meter. The blinking LED as seen on the front panel is directly proportional to the power consumed. More the power drawn faster becomes the LED blinking pulses. One sensor is placed above such blinking LED to derive the real time units consumed whose output goes to an 8051 microcontroller. Whenever the LED blinks, it then gives an interrupt signal to the microcontroller of the 8051 family and thus the program of the microcontroller counts the pulses and displays the reading on the LCD duly interfaced to the microcontroller for every minute / daily / weekly or monthly as programmed which is sent to the cell phone of the user by an SMS through a GSM modem, which is interfaced to the

PROGRAMMABLE ENERGY METER WITH BILL ESTIMATION FOR REDUCING POWER BILL