Python equivalent of Perl e flag with regular expression

[Friedman, Jason]

I have lines that look like this:
select column1, 'select' as type
from table
where column2 = 'foo'

I want to return:
SELECT column1, 'select' AS type
FROM table
WHERE column2 = 'foo'

This is SQL with the keywords converted to uppercase.  Note that the
second "select" string is not a keyword and thus I do not want to
convert it to uppercase.  Thus, I don't think the string.replace()
method will work for me.

With Perl I might do something like this:
$line =~ s/(select)/uc($1)/e;
More generally:
for $keyword in (@keyword) {
  $line =~ s/($keyword)/uc($1)/e;
}

How would I do this with Python?

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