A method for monitoring a parking space by a parking meter, the method comprising: ascertaining and communicating, by the parking meter, presence of a vehicle in the parking space to a central server, wherein the central server is communicatively coupled to the parking meter; activating a session establishment unit of the parking meter upon ascertaining presence of the vehicle; establishing, by the parking meter, a session with a user device of a user of the vehicle based on a session establishment request received from the user device; receiving, by the parking meter, a parking validation message from the user device, wherein the parking validation message indicates a confirmation of occupancy of the parking space for parking by the vehicle; transmitting, by the parking meter, a payment request message comprising an identity corresponding to the location of the parking space to the user device, and wherein the payment request message indicates a request for payment of parking charges corresponding to the parking space by the user, and wherein the parking charges are based on a predefined charging policy; transmitting, by the user device, the payment request message to the central server over a parking payment session for facilitating payment of the parking charges corresponding to the parking space, and wherein the parking payment session is established between the user device and the central server, receiving, by the parking meter, an authorization status from the central server, wherein the authorization status indicates one of an authorized occupancy of the parking space and an unauthorized occupancy of the parking space based on the presence of the vehicle as ascertained and one of compliance and non-compliance to the predefined charging policy by the user; and displaying, by the parking meter, a status indicator based on the authorization status, wherein the status indicator indicates one of the authorized occupancy of the parking space and the unauthorized occupancy of the parking space. ascertaining and communicating, by the parking meter, presence of a vehicle in the parking space to a central server, wherein the central server is communicatively coupled to the parking meter; activating a session establishment unit of the parking meter upon ascertaining presence of the vehicle; establishing, by the parking meter, a session with a user device of a user of the vehicle based on a session establishment request received from the user device; receiving, by the parking meter, a parking validation message from the user device, wherein the parking validation message indicates a confirmation of occupancy of the parking space for parking by the vehicle; transmitting, by the parking meter, a payment request message comprising an identity corresponding to the location of the parking space to the user device, and wherein the payment request message indicates a request for payment of parking charges corresponding to the parking space by the user, and wherein the parking charges are based on a predefined charging policy; transmitting, by the user device, the payment request message to the central server over a parking payment session for facilitating payment of the parking charges corresponding to the parking space, and wherein the parking payment session is established between the user device and the central server, receiving, by the parking meter, an authorization status from the central server, wherein the authorization status indicates one of an authorized occupancy of the parking space and an unauthorized occupancy of the parking space based on the presence of the vehicle as ascertained and one of compliance and non-compliance to the predefined charging policy by the user; and displaying, by the parking meter, a status indicator based on the authorization status, wherein the status indicator indicates one of the authorized occupancy of the parking space and the unauthorized occupancy of the parking space.