Well its kinda a trade off between having your dvd rom spinning vs a possible higher cpu load depending on the compression of the itunes movie. I am pretty sure that playing the movie off your hard drive will use less power. If you are looking to maximize battery life, it may be worth your while to rip your dvds to your hard drive.
I get about 2 to 2.5 hours watching a dvd, I don't know specifically how long it would go playing movies off the hard drive, but it should definitely be longer than watching the dvd.