The objective of our proposed work is to transform conventional electricity meter reading and billing processes in a digital method. The proposed system can make real-time and accurate measurements of electricity consumption through the use of advanced hardware components like ACS712 current sensors and voltage sensors. Integrating with various UPI payment gateways ensures a smooth and secure way of making payments. The main scope of our work is to remove inefficiencies caused by manual meter reading and offer automated, transparent billing processes. The Arduino-based system uses a modular design that includes sensor interfaces, data interpretation, consumption calculation, customer records management, and utility bill generation. The integration of IoT functionalities makes it easy to transmit data back to a central database, thus laying grounds for a more connected and efficient energy management system. The UPI payment gateway integration simplifies monetary transactions offering convenient and secure bill payments to consumers.