The present study measured the energy efficiency at various sizes of farms in relation to their energy use pattern with special reference to wheat and paddy crops in relevance to electricity and fertilizer efficiency, identified the factors responsible for levels of efficiency on Punjab Farms and given the implications for future energy demand scenario and usage pattern in Punjab agriculture. A significant decline in per hectare use of commercial and non- commercial energy with the rise in the level of efficiency was observed. Per hectare use of commercial and non-commercial energy was comparatively low in zone III to zone I and zone II. Per hectare use of both commercial and non-commercial energy was more in paddy crop as expected in comparison to wheat crop. Paddy alone consumes three-fourth of total electricity consumption in agriculture. Only 20 per cent decrease in area under rice cultivation would decrease the energy use to a great extent. So, there is also a need of shifting from present wheat-paddy cropping system to less energy intensive cropping system.