This paper improved the template matching algorithm through the study of the basic algorithm of template matching on computer vision. Based on OpenCV open-source platform, a smart meter detection system is designed by VC++6.0. The system utilizes the improved template matching algorithm and detects multiple information of the power meter in effect and calculates defects. It’s very helpful to improve the quality of the power meter and ensure the reliability of the power meter. The experiments show that the system detects fast and real-time.