At the level of the EU and Croatia, the replacement of old meters with new advanced meters that enable two-way communication between the system operator/supplier and the end users of the network has begun. The introduction of advanced meters ("smart meters") represents the first step in the implementation of smart power grids, the so-called. smart grid and represents one of the priority projects at the EU level. Advanced meters enable constant monitoring of electricity consumption and availability of measurement data to both system operators/suppliers and end users. With their introduction, electricity consumption becomes completely transparent and consumers gain a better insight into the nature of consumption, which in most cases ultimately results in a more rational use of electricity. In addition, system operators have more detailed information about the network that enables more efficient planning of operation, development and maintenance of the system. A better insight into the state of the network provides prerequisites for more efficient and reliable operation of the network, reduction of losses in the network, improvement of the quality of electricity, simpler detection of unauthorized consumption of electricity, more accurate calculation of costs for the end consumer and a number of other benefits. On the part of consumers, prerequisites are created for potential savings or income, since they start to consume electricity more rationally in accordance with the contracted tariff model, but the possibility of earning additional income from participating in various auxiliary services of the system also opens up. The inclusion of consumers in the auxiliary services of the system with adequate reimbursement of their costs represents one of the necessary conditions for achieving the ambitious goals of the EU in terms of the share of production from RES. This paper will describe the prototype of the developed advanced meter based on the ESP8266 module with two-way communication via the MQTT protocol.