<PAGE>

                UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549

                                   FORM 10-K

(Mark One)
[X]  ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 2001.
                          ------------------
or
[_]  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from_______to______.

                        Commission File Number 1-16297

                             TECO CAPITAL TRUST I
        ------------------------------------------------------------
            (Exact Name of Registrant as Specified in Its Charter)

           Delaware                                   13-4164838
     ------------------------                         ----------
     (State of Incorporation                        (IRS Employer
      or Organization)                            Identification No.)


      c/o The Bank of New York
    101 Barclay Street, 21/st/ Floor                    10286
          New York, New York                          ----------
          ------------------
  (Address of Principal Executive Offices)            (Zip Code)


Registrant's telephone number, including area code:  (212) 815-5088

Securities registered pursuant to Section 12(b) of the Act:

          Title of Each Class         Name of Each Exchange on Which Registered
          -------------------         -----------------------------------------
       Trust Preferred Securities     The New York Stock Exchange


Securities registered pursuant to Section 12(g) of the Act:

                                      N/A
                                    --------
                                (Title of Class)

Indicate by check mark whether the Registrant (1) has filed all reports required
to be filed by Section 13 or 15 (d) of the Securities and Exchange Act of 1934
during the preceding 12 months (or for such shorter period that the Registrant
was required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days. [x] Yes        [_] No

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K is not contained herein, and will not be contained, to the
best of the Registrant's knowledge, in definitive proxy or information
statements incorporated by reference in Part III of this Form 10-K or any
amendment to this Form 10-K. [X]

The aggregate market value of the voting and non-voting common equity held by
non-affiliates of the Registrant as of March 15, 2001 was $0.
<PAGE>

                                     PART I

ITEM 1.

BUSINESS.

TECO Capital Trust I (the "Trust") is a statutory business trust that TECO
Funding Company I, LLC (the "LLC") formed under Delaware law on November 20,
2000 pursuant to a certificate of trust filed with the Delaware Secretary of
State.  The Trust is governed by an Amended and Restated Trust Agreement dated
December 1, 2000 by and among the LLC as depositor, by The Bank of New York as
property trustee, and by The Bank of New York (Delaware) as Delaware trustee
(the "Trust Agreement").  The Trust Agreement is qualified as an indenture under
the Trust Indenture Act of 1939.  The Trust issued to the public 8,000,000 trust
preferred securities at the annual rate of 8.50%, with an aggregate liquidation
amount of $200 million on December 20, 2000 for the purpose of acquiring related
company preferred securities from the LLC.  The trust preferred securities
represent a corresponding amount of company preferred securities of the LLC.
The Trust has minimal assets other than the company preferred securities.  The
Trust Agreement does not permit the Trust to engage in any activities other than
holding the company preferred securities, issuing the trust preferred
securities, and engaging in other related activities.

The LLC sold company preferred securities to the Trust and company common
securities to TECO Energy, Inc. ("TECO Energy"). The LLC used the proceeds from
the sale of the company preferred securities and the company common securities
to buy from TECO Energy a series of 8.50% junior subordinated notes due January
31, 2041, with the same financial terms as the company preferred securities.
TECO Energy has guaranteed payments to be made on the company preferred
securities pursuant to a guarantee agreement and, indirectly, payments to be
made on the trust preferred securities as a result of their beneficial interest
in the company preferred securities.

The fiscal year of the Trust is the calendar year.  The LLC pays all fees and
expenses related to the Trust.

ITEM 2.

PROPERTIES

The Trust has no physical property.  Its primary assets are the company
preferred securities issued by the LLC.

ITEM 3.

LEGAL PROCEEDINGS.

The Trust is not a party to any legal proceedings.

ITEM 4.

SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS.

No matters were submitted to a vote of security holders during the quarter ended
December 31, 2001.

                                       2
<PAGE>

                                    PART II

ITEM 5.

MARKET FOR REGISTRANT'S COMMON EQUITY AND RELATED STOCKHOLDER MATTERS.

The Trust has not issued common equity securities.

ITEM 6.

SELECTED FINANCIAL DATA.

The Trust was established on November 20, 2000 and commenced operations on
December 20, 2000.

Total assets at December 31, 2001 and 2000 amounted to $202,927,778 and
$200,566,667, respectively.

ITEM 7.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATION FOR THE YEAR ENDED DEC. 31, 2001.

TECO Capital Trust I was formed on November 20, 2000 and issued to the public
8,000,000 of its trust preferred securities for an aggregate purchase price of
$200,000,000 on December 20, 2000.  The proceeds from the issuance were remitted
to the LLC in exchange for 8,000,000 company preferred securities for an
aggregate purchase price of $200,000,000.  TECO Energy, Inc. purchased all of
the company common securities of the LLC for an aggregate purchase price of
$6,200,000.  The LLC remitted the proceeds from the issuance of both its company
common securities and company preferred securities to TECO Energy, Inc. in
exchange for $206,200,000 aggregate principal amount of 8.50% Junior
Subordinated Notes Due 2041 of TECO Energy, Inc., dated December 20, 2000 and
bearing interest and maturing on the dates and in the amounts set forth in the
Indenture, dated as of August 17, 1998, by and between the Company and The Bank
of New York, as Trustee, as supplemented by the Third Supplemental Indenture,
dated as of December 1, 2000.

The trust preferred securities represent undivided beneficial interests in the
assets of the Trust, which consist of a corresponding amount of the company
preferred securities. Distributions on the company preferred securities will be
passed on to the holders of the trust preferred securities. The Trust is
required to make distributions on the trust preferred securities concurrently
with, and in the same amount as, the distributions on the company preferred
securities. Distributions on the company preferred securities are cumulative and
will accumulate from the date they are first issued at the annual rate of 8.50%
of the $25 per company preferred security liquidation preference. Distributions
are payable quarterly in arrears on January 31, April 30, July 31 and October 31
of each year.  Distributions on the company preferred securities of $14,638,889
were made in 2001, and were subsequently distributed by the Trust to the holders
of the trust preferred securities.  No distributions were made in 2000.

The trust preferred securities began trading on the New York Stock Exchange on
January 12, 2001.

TECO Energy, Inc. owns all of the company common securities of the LLC, which,
unless an event of default has occurred and is continuing with respect to the
junior subordinated notes, represent 100 percent of the voting rights in the
LLC.  The LLC is managed by a board of directors who are designated as
"managers" of the LLC within the meaning of Delaware law. The directors will
serve until their successors are duly elected and qualified. The directors may
appoint officers of the limited liability company from time to time to manage
the day-to-day affairs of the limited liability company.  All voting rights in
the LLC are vested in TECO Energy, Inc. as the sole holder of the company common
securities, including the right to elect the board of directors.

ITEM 7A.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.

On December 20, 2000, the Trust purchased 8,000,000 company preferred securities
of the LLC with an annual distribution rate of 8.50% for an aggregate purchase
price of $200,000,000. TECO Energy has guaranteed all payments to be made on the
company preferred securities. There is no public market for these company
preferred securities.

                                       3
<PAGE>

ITEM 8.

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA.

INDEX TO FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

<TABLE>
<CAPTION>
                                                                                       Page
                                                                                        No.
<S>                                                                                    <C>
Report of Independent Certified Public Accountants                                      6

Statement of Net Assets Available for Trust Activities, December 31, 2001 and 2000      7

Statement of Changes in Net Assets Available for Trust Activities
      For the year ended December 31, 2001 and
      From November 20, 2000 (date of formation) through December 31, 2000              8

Notes to Financial Statements                                                           9
</TABLE>

      All financial statement schedules have been omitted since they are not
required, are inapplicable or the required information is presented in the
financial statements or notes thereto.

                                       4
<PAGE>

Report of Independent Certified Public Accountants



To the Trustees of the TECO Capital Trust I:


In our opinion, the financial statements listed in the accompanying index
present fairly, in all material respects, the net assets available for trust
activities of the TECO Capital Trust I (the "Trust") at Dec. 31, 2001 and 2000,
and the changes in net assets available for trust activities for the year ended
Dec. 31, 2001 and for the period from Nov. 20, 2000 (date of formation) through
Dec. 31, 2000 in conformity with accounting principles generally accepted in the
United States of America. These financial statements are the responsibility of
the Trust's management; our responsibility is to express an opinion on these
financial statements based on our audits. We conducted our audits of these
statements in accordance with auditing standards generally accepted in the
United States of America, which require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements, assessing
the accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for our opinion.



/s/ PricewaterhouseCoopers LLP

Tampa, Florida
March 8, 2002

                                       5
<PAGE>

                              TECO CAPITAL TRUST I

             STATEMENT OF NET ASSETS AVAILABLE FOR TRUST ACTIVITIES


                                                        December 31,
                                                     2001          2000
                                                     ----          ----
Assets

Cash                                             $             $
                                                           --            --
Dividends Receivable                                2,927,778       566,667

Investment in Company Preferred Securities        200,000,000   200,000,000
                                                 ------------  ------------
Total Assets                                     $202,927,778  $200,566,667
                                                 ------------  ------------

Liabilities

Trust Preferred Securities Dividends Payable     $  2,927,778  $    566,667

Trust Preferred Securities                        200,000,000   200,000,000
                                                 ------------  ------------

Total Liabilities                                $202,927,778  $200,566,667
                                                 ------------  ============
Net assets available for trust activities
                                                 $         --  $         --
                                                 ============  ============


    The accompanying notes are an integral part of the financial statements

                                       6
<PAGE>

                             TECO CAPITAL TRUST I

       STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR TRUST ACTIVITIES

<TABLE>
<CAPTION>
                                                                                      From
                                                                               November 20, 2000
                                                           Year ended         (date of formation)
                                                        December 31, 2001    to December 31, 2000
                                                        -----------------    --------------------
<S>                                                     <C>                  <C>
Additions to net assets attributed to:
Company Preferred Security Dividend Income                  $  17,000,000           $     566,667
Issuance of Trust Preferred Securities                                 --             200,000,000
                                                            -------------           -------------
                                                               17,000,000           $ 200,566,667
                                                            -------------           -------------

Deductions from net assets attributed to:
Trust Preferred Securities Dividends                          (17,000,000)               (566,667)
Purchase of Company Preferred Securities                               --            (200,000,000)
                                                            -------------           -------------
                                                              (17,000,000)           (200,566,667)
                                                            -------------           -------------
Changes in net assets available for trust activities                   --                      --
Net assets available for trust activities:
Beginning of year                                                      --                      --
                                                            -------------           -------------
End of year                                                 $          --           $          --
                                                            =============           =============
</TABLE>

    The accompanying notes are an integral part of the financial statements

                                       7
<PAGE>

                         NOTES TO FINANCIAL STATEMENTS

A.   OVERVIEW

     TECO Capital Trust I (the "Trust") is a statutory business trust that TECO
Funding Company I, LLC (the "LLC"), a wholly owned subsidiary of TECO Energy,
Inc. ("TECO Energy") formed under Delaware law on November 20, 2000 pursuant to
a certificate of trust filed with the Delaware Secretary of State. The Trust is
governed by an Amended and Restated Trust Agreement dated December 1, 2000 by
and among the LLC as depositor, by The Bank of New York as property trustee, and
by The Bank of New York (Delaware) as Delaware trustee (the "Trust Agreement").
The Trust Agreement is qualified as an indenture under the Trust Indenture Act
of 1939. The Trust issued to the public 8,000,000 trust preferred securities at
the annual rate of 8.50%, with an aggregate liquidation amount of $200 million
on December 20, 2000 for the purpose of acquiring related company preferred
securities from the LLC. The trust preferred securities represent a
corresponding amount of company preferred securities of the LLC. The Trust has
minimal assets other than the company preferred securities. The Trust Agreement
does not permit the Trust to engage in any activities other than holding the
company preferred securities, issuing the trust preferred securities, and
engaging in other related activities. The trust preferred securities began
trading on the New York Stock Exchange on January 12, 2001. At December 31,
2001, the trust preferred securities had a carrying amount of $200 million and
an estimated fair market value of $213,600,000.

     The LLC sold company preferred securities to the Trust and company common
securities to TECO Energy. The LLC used the proceeds from the sale of the
company preferred securities and the company common securities to buy from TECO
Energy a series of 8.50% junior subordinated notes due January 31, 2041, with
the same financial terms as the company preferred securities. TECO Energy
guarantees payments to be made on the company preferred securities pursuant to a
guarantee agreement and, indirectly, payments to be made on the trust preferred
securities as a result of their beneficial interest in the company preferred
securities.

B.   SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

BASIS OF PRESENTATION

     Additions to net assets, including dividend income, and deductions from net
assets, including dividend distributions, are recognized on an accrual basis.
Dividend distributions accumulated from the date the Trust issued the trust
preferred securities and are payable quarterly in arrears on January 31, April
30, July 31 and October 31 of each year, beginning January 31, 2001.

INCOME TAXES

     The Trust is characterized for United States federal income tax purposes as
a grantor trust and will not be taxed as a corporation. For income tax purposes,
any income or losses from the Trust are passed through to the holders of the
trust preferred securities. Therefore, no provision for income taxes has been
included on the Trust's financial statements.

NEW ACCOUNTING STANDARDS

     On June 30, 2001, the Financial Accounting Standards Board finalized FAS
141, Business Combinations, and FAS 142, Goodwill and Other Intangible Assets.
FAS 141 requires all business combinations initiated after June 30, 2001, to be
accounted for using the purchase method of accounting. With the adoption of FAS
142 effective January 1, 2002, goodwill is no longer subject to amortization.
Rather, goodwill will be subject to at least an annual assessment for impairment
by applying a fair-value-based test. Under the new rules, an acquired intangible
asset should be separately recognized if the benefit of the intangible asset is
obtained through contractual or other legal rights, or if the intangible asset
can be sold, transferred, licensed, rented, or exchanged, regardless of the
acquirer's intent to do so. These intangible assets will be required to be
amortized over their useful lives. The adoption of FAS 141 and FAS 142 will have
no effect on the financial statements of the Trust, since the Trust has no
pending business combinations, nor do the financial statements include any
goodwill or other intangible assets.

     In July 2001, the Financial Accounting Standards Board finalized FAS 143,
Accounting for Asset Retirement Obligations, which requires the recognition of a
liability for an asset retirement obligation in the period in which it is
incurred. When the liability is initially recorded, the carrying amount of the
related long-lived asset is correspondingly increased. Over time, the liability
is accreted to its present value and the related capitalized charge is
depreciated over the useful life of the asset. FAS 143 is effective for fiscal
years beginning after June 15, 2002. The adoption of FAS 143 will have no effect
on the financial statements of the Trust.

                                       8
<PAGE>

     In August 2001, the Financial Accounting Standards Board finalized FAS 144,
Accounting for the Impairment or Disposal of Long-Lived Assets. FAS 144
addresses accounting and reporting for the impairment or disposal of long-lived
assets, including the disposal of a segment of business. FAS 144 is effective
for fiscal years beginning after December 15, 2001, with earlier application
encouraged. The adoption of FAS 144 will have no effect on the financial
statements of the Trust.

C.   RELATED PARTIES

     During 2001, the Trust recognized dividend income on the company preferred
securities from the LLC of $17,000,000 and received dividend payments from the
LLC of $14,638,889. During 2000, the Trust purchased 8,000,000 company preferred
securities from the LLC for $200,000,000 and recognized dividend income on these
company preferred securities of $566,667.


ITEM 9.

CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON FINANCIAL DISCLOSURE

     None.

                                       9
<PAGE>

                                   PART III

ITEM 10.  DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT

The Bank of New York (Delaware), a Delaware banking corporation, acts as the
Delaware Trustee, pursuant to the certificate of trust that formed the Trust in
November 2000. The Trust has no executive officers or directors.

ITEM 11.  EXECUTIVE COMPENSATION

Not applicable.

ITEM 12.  SECURITY OWNERSHIP OF BENEFICIAL OWNERS AND MANAGEMENT

Not applicable.

ITEM 13.  CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

Not applicable.

                                       10
<PAGE>

                                    PART IV

ITEM 14.  EXHIBITS, FINANCIAL STATEMENT SCHEDULES, REPORTS ON FORM 8-K.

     (a)  FINANCIAL STATEMENTS

          The financial statements are listed under Item 8 of this report.

     (b)  REPORTS ON FORM 8-K

          No reports on Form 8-K were filed during the fourth quarter of 2001.

     (c)  EXHIBITS

4.1  Indenture dated as of August 17, 1998 between TECO Energy, Inc. and The
     Bank of New York, as trustee. Filed as Exhibit 4 to TECO Energy, Inc.'s
     Amendment No. 1 to Registration Statement on Form S-3 (No. 333-60819) filed
     with the Commission on August 24, 1998 and incorporated herein by
     reference.

4.2  Certificate of Trust of TECO Capital Trust I./(1)/

4.3  Trust Agreement of TECO Capital Trust I./(1)/

4.3  Third Supplemental Indenture dated as of December 1, 2000 by and between
     TECO Energy, Inc. and The Bank of New York./(2)/

4.4  Amended and Restated Trust Agreement of TECO Capital Trust I dated as of
     December 1, 2000./(2)/

4.5  Certificate representing Trust Preferred Securities issued by TECO Capital
     Trust I./(2)/

4.6  Amended and Restated Limited Liability Company Agreement of TECO Funding
     Company I, LLC dated as of December 1, 2000./(2)/

4.7  Guarantee Agreement dated as of December 1, 2000 by and between TECO
     Energy, Inc. as Guarantor and The Bank of New York as Guarantee
     Trustee./(2)/

4.9  8.5% Junior Subordinated Notes due January 31, 2041./(2)/

4.10 Certificate representing company preferred securities issued by TECO
     Funding Company I, LLC./(2)/

23.1 Consent of Independent Certified Public Accountants. Filed herewith.

99.1 The consolidated financial statements of TECO Energy, Inc. and its
     subsidiaries included in Item 8 of TECO Energy Inc.'s Annual Report on Form
     10-K.  Filed as Item 8 to TECO Energy, Inc.'s Annual Report on Form 10-K
     filed on March 28, 2002 (File No. 1-08180) and incorporated herein by
     reference.

/(1)/  Incorporated by reference to the identically titled exhibit to the
       Registration Statement on Form S-3 (File No. 333-50808) filed by TECO
       Capital Trust I on November 28, 2000.

/(2)/  Incorporated by reference to the identically titled exhibit to the
       Current Report on Form 8-K (File No. 1-08180) filed by TECO Energy, Inc.
       on December 21, 2000.

                                       11
<PAGE>

                                   SIGNATURE

     Pursuant to the requirements of Section 13 or 15(d) of the Securities and
Exchange Act of 1934, the Registrant has duly caused this report to be signed on
its behalf by the undersigned, thereunto duly authorized.

                                   TECO CAPITAL TRUST I
                                   By: The Bank of New York (Delaware),
                                   as Delaware Trustee


Date: March 29, 2002               /s/ Mildred Smith
                                   ------------------------------------
                                   Name:  Mildred Smith
                                   Title: President

                                       12
<PAGE>

                                 EXHIBIT INDEX

4.1     Indenture dated as of August 17, 1998 between TECO Energy, Inc. and The
        Bank of New York, as trustee. Filed as Exhibit 4 to TECO Energy, Inc.'s
        Amendment No. 1 to Registration Statement on Form S-3 (No. 333-60819)
        filed with the Commission on August 24, 1998 and incorporated herein by
        reference.

4.2     Certificate of Trust of TECO Capital Trust I./(1)/

4.3     Trust Agreement of TECO Capital Trust I./(1)/

4.3     Third Supplemental Indenture dated as of December 1, 2000 by and between
        TECO Energy, Inc. and The Bank of New York./(2)/

4.4     Amended and Restated Trust Agreement of TECO Capital Trust I dated as of
        December 1, 2000./(2)/

4.5     Certificate representing Trust Preferred Securities issued by TECO
        Capital Trust I./(2)/

4.6     Amended and Restated Limited Liability Company Agreement of TECO Funding
        Company I, LLC dated as of December 1, 2000./(2)/

4.7     Guarantee Agreement dated as of December 1, 2000 by and between TECO
        Energy, Inc. as Guarantor and The Bank of New York as Guarantee
        Trustee./(2)/

4.9     8.5% Junior Subordinated Notes due January 31, 2041./(2)/

4.10    Certificate representing company preferred securities issued by TECO
        Funding Company I, LLC./(2)/

23.1    Consent of Independent Certified Public Accountants. Filed herewith.

99.1.1  The consolidated financial statements of TECO Energy, Inc. and its
        subsidiaries included in Item 8 of TECO Energy, Inc.'s Annual Report on
        Form 10-K. Filed as Item 8 to TECO Energy, Inc.'s Annual Report on Form
        10-K filed on March 28, 2002 (File No. 1-08180) and incorporated herein
        by reference.

/(1)/ Incorporated by reference to the identically titled exhibit to the
      Registration Statement on Form S-3 (File No. 333-50808) filed by TECO
      Capital Trust I on November 28, 2000.

/(2)/ Incorporated by reference to the identically titled exhibit to the Current
      Report on Form 8-K (File No. 1-08180) filed by TECO Energy, Inc. on
      December 21, 2000.

                                       13