This paper examines the impact of efficiency in energy consumption on the growth in productivity in the Nigerian manufacturing sector. The study utilizes a panel data technique covering a period of substantial energy price reviews in Nigeria. The study shows that, for most industries, productivity growth has been energy using, whereas, in a few, attempts have been made to switch productivity growth towards energy saving. However, it will take some time for the effect of current energy pricing policy to permeate the whole manufacturing sector due to the high cost required to invest in energy saving equipment, especially in the face of a rapid decline in real income coupled with high product prices.