Abstract Using an econometric energy demand model, this paper separates price from non-price conservation effects in the period 1974–1977 and examines what might have happened to Canadian energy demands if Canada had priced its energy at OPEC equivalent levels instead of pursuing a gradual ‘phase-in’ policy. Prices accounted for the major proportion of energy savings over the period 1974–1977, particularly in the industrial and transport sectors, and for oil and gas. Non-price effects seem to have had a larger impact in the earlier years and for oil and electricity. Movement to international prices during the period studied could have reduced Canadian secondary energy demands by the oil equivalent output of 1.3 Syncrude-sized (125 000 bbl/day) oilsands plants.