The conventional electrical grid faces significant issues, which this paper aims to address one of most of them using a proposed prototype of a smart microgrid energy management system. In addition to relying too heavily on fossil fuels, electricity theft is another great issue. The proposed energy management system can simultaneously detect electricity theft and implement demand response tactics by employing time-of-use pricing principles and comparing real electricity consumption with grid data. The system uses the Al-Biruni earth radius (BER) optimization algorithm to make smart choices about how to distribute the load, intending to reduce energy consumption and costs without sacrificing comfort. As a bonus, it considers limitations imposed by battery charging/discharging and decentralized power generation. Incorporating sensors and SCADA-based monitoring, the system provides accurate measurement and management of energy usage through load monitoring and control. An intuitive mobile app also helps consumers connect, allowing for more active participation and better control over energy use. Extensive field testing of the prototype shows that by moving loads from peak period to another off-peak period, electricity expenditures can be reduced by up to 48.45%. The energy theft value was calculated to be 1199 W, proving that the system's theft detection model was effective.
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