Due to the integration of different kind of distributed resources and loads with nonlinear characteristics, the quality of electric power in smart grids needs to be monitored well. In addition to power quality disturbances like sag-swell, harmonics, and inter-harmonics, flicker is one of the critical power quality phenomenon seen nowadays. For flicker measurement, a flicker meter is defined in the IEC 61000-4-15. This meter has only a voltage signal input and it is not enough to interpret the contribution of the load and remaining power systems separately. So, further analyses are required for flicker evaluation. In this paper, new approaches for flicker evaluation are proposed using signal processing techniques and information theory. The real measurements taken by an iron and steel factory are processed using above mentioned techniques to evaluate flicker characteristics. The results prove that the application of information theory in smart grid measurements provides valuable information.