SECURITIES AND EXCHANGE COMMISSION

                              WASHINGTON D.C. 20549
                             ______________________

                                    FORM 10-Q

               Quarterly Report Pursuant to Section 13 or 15(d) of
                       the Securities Exchange Act of 1934

                         For the quarterly period ended

                               SEPTEMBER 30, 2000

                           COMMISSION FILE NO. 333-608

                   CE CASECNAN WATER AND ENERGY COMPANY, INC.
             (Exact name of registrant as specified in its charter)

                     PHILIPPINES                             Not Applicable
        (State or other jurisdiction of                   (I.R.S. Employer
         incorporation or organization)                    Identification No.)

        24th Floor, 6750 Building, Ayala Avenue
        Makati, Metro Manila Philippines                     Not Applicable
        (Address of principal executive offices)              (Zip Code)

        Registrant's telephone number, including area code (632) 892-0276

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 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.

                           Yes X            No

Former  name,  former  address and former  fiscal  year,  if changed  since last
report. Not Applicable

767,162  shares  of  Common  Stock,  $0.038  par value  were  outstanding  as of
September 30, 2000.

<PAGE>

                   CE CASECNAN WATER AND ENERGY COMPANY, INC.

                                    Form 10-Q

                               September 30, 2000
                                  _____________

                                 C O N T E N T S

PART I:  FINANCIAL INFORMATION                                              Page

Item 1.           Financial Statements

Report of Independent Public Accountants                                      3

Balance Sheets, September 30, 2000 and December 31, 1999                      4

Statements of Operations for the Three and Nine Months Ended
September 30, 2000 and 1999 and for the period from the date
of inception (September 21, 1994) to September 30, 2000                       5

Statements of Cash Flows for the Nine Months Ended
September 30, 2000 and 1999 and for the period from the
date of inception (September 21, 1994) to September 30, 2000                  6

Notes to Financial Statements                                                 7

Item 2.         Management's Discussion and Analysis of Financial
                Condition and Results of Operations                       8 - 9

PART II:  OTHER INFORMATION

Item 1.         Legal Proceedings                                            10
Item 2.         Changes in Securities                                        10
Item 3.         Defaults on Senior Securities                                10
Item 4.         Submission of Matters to a Vote of Security Holders          10
Item 5.         Other Information                                            10
Item 6.         Exhibits and Reports on Form 8-K                             10

Signatures                                                                   11

Exhibit 27                                                                   12

<PAGE>

Report of Independent Accountants

To the Board of Directors and Stockholders of
CE Casecnan Water and Energy Company, Inc.



We have reviewed the accompanying  balance sheet of CE Casecnan Water and Energy
Company, Inc. (a company in the development stage) as of September 30, 2000, and
the  related  statements  of  operations  for the  three and nine  months  ended
September  30, 2000 and of cash flows for the nine months  ended  September  30,
2000.  These  financial  statements  are  the  responsibility  of the  Company's
management.  The quarters ended September 30, 1999,  March 31, 2000 and June 30,
2000 were reviewed by another independent accounting firm.

A review of interim financial  information  consists principally of obtaining an
understanding   of  the  system  for  the   preparation  of  interim   financial
information,  applying  analytical  review  procedures to the financial data and
making inquiries of persons responsible for financial and accounting matters. It
is  substantially  less in scope than an audit made in accordance with generally
accepted  auditing  standards in the United States of America,  the objective of
which is the expression of an opinion  regarding the financial  statements taken
as a whole. Accordingly, we do not express such an opinion.

Based on our review, we are not aware of any material  modifications that should
be  made  to the  financial  statements  referred  to  above  for  them to be in
conformity with accounting principles generally accepted in the United States of
America.

Another  independent  accounting firm had previously  audited in accordance with
generally  accepted  auditing  standards  in the United  States of America,  the
balance  sheet as of December 31, 1999,  statements  of  operations  and of cash
flows for the year then ended,  whose report dated January 25, 2000 expressed an
unqualified opinion on those financial statements.


JOAQUIN CUNANAN & CO.
A PricewaterhouseCoopers Member Firm



Makati City, Philippines
November 13, 2000

<PAGE>


                   CE CASECNAN WATER AND ENERGY COMPANY, INC.

                                  BALANCE SHEET
          (In thousands, except number of shares and per share amounts)


                                              September 30,       December 31,
                                                   2000               1999
                                           ------------------- -----------------
                                                       A S S E T S

Cash and cash equivalents                  $          2,835    $          2,318
Restricted cash and investments                      98,181             164,239
Accrued interest and other receivables                  517               1,750
Bond issue costs - net                                7,911               9,010
Development and construction costs                  394,430             337,983
Deferred income tax                                   5,919               7,098
----------------------------------------- ------------------- -----------------
                                             $      509,793       $     522,398
========================================= =================== =================

LIABILITIES AND STOCKHOLDERS' EQUITY

Accounts payable and accrued expenses       $        19,335      $       41,633
Advances from affiliates                             15,634              10,024
Notes and bonds payable                             371,500             371,500
----------------------------------------- ------------------- -----------------
                                                    406,469             423,157
----------------------------------------- ------------------- -----------------
Common stock - par value $0.038 per share
   Authorized - 2,148,000 shares
    Issued and outstanding - 767,162 shares              29                  29
Additional paid-in capital                          123,807             123,807
Accumulated  deficit                                (20,512)            (24,595)
----------------------------------------- ------------------- -----------------
                                                    103,324              99,241
----------------------------------------- ------------------- -----------------
                                             $      509,793       $     522,398
========================================= =================== =================


                (See accompanying notes to financial statements)


<PAGE>

                   CE CASECNAN WATER AND ENERGY COMPANY, INC.

                            STATEMENTS OF OPERATIONS
          (In thousands, except number of shares and per share amounts)
<TABLE>
<CAPTION>

                                                                                                               From the date
                                                                                                                of inception
                                                                                                                 (September
                                                 Three months ended                Nine months ended             21,1994) to
                                                    September 30                     September 30               September 30,
                                          ----------------- ----------------- -------------- ----------------- ------------------
                                                 2000             1999             2000            1999              2000
                                          ----------------- ----------------- -------------- ----------------- ------------------
REVENUES
<S>                                         <C>             <C>               <C>             <C>              <C>
     Interest income                        $       1,858   $       2,665     $     6,367     $      8,958     $          85,446
----------------------------------------- ----------------- ----------------- -------------- ----------------- ------------------
                                                    1,858           2,665           6,367            8,958                85,446
----------------------------------------- ----------------- ----------------- -------------- ----------------- ------------------
COST AND EXPENSES:
     Pre-operating expenses                           212               -             212                -                   212
     Financial expenses
         Interest expense                          11,978          11,581          35,808           34,648               226,428
         Capitalized interest                     (11,978)         (9,315)        (34,915)         (26,658)             (114,763)
----------------------------------------- ----------------- ----------------- -------------- ----------------- ------------------
     Total costs and expenses                         212           2,266           1,105            7,990               111,877
----------------------------------------- ----------------- ----------------- -------------- ----------------- ------------------

INCOME (LOSS) BEFORE
INCOME  TAX                                         1,646             399           5,262              968               (26,431)
BENEFIT FROM
   (PROVISION FOR)
   DEFERRED INCOME TAX                               (369)            (90)         (1,179)            (217)                5,919
----------------------------------------- ----------------- ----------------- -------------- ----------------- ------------------
NET INCOME (LOSS)                           $       1,277   $         309     $     4,083     $        751     $         (20,512)
========================================= ================= ================= ============== ================= ==================
NET INCOME (LOSS) PER
   SHARE                                    $        1.66   $        0.40     $      5.32      $      0.98     $         (27.96)
========================================= ================= =============== ================= ============== ====================
AVERAGE NUMBER OF
   SHARES OUTSTANDING                             767,162         767,162         767,162          767,162              733,645
========================================= ================= =============== ================= ============== ====================

                                           (See accompanying notes to financial statements)
</TABLE>


<PAGE>

                   CE CASECNAN WATER AND ENERGY COMPANY, INC.

                            STATEMENTS OF CASH FLOWS
                                 (In thousands)
<TABLE>
<CAPTION>

                                                                                                             From the date
                                                                                                             of inception
                                                                                                            (September 21,
                                                                             Nine months ended                 1994) to
                                                                               September 30,                 September 30,
                                                                    ------------------ ------------------
                                                                          2000               1999                2000
------------------------------------------------------------------- ------------------ ------------------ --------------------
CASH FLOWS FROM OPERATING ACTIVITIES
<S>                                                                 <C>                <C>                <C>
     Net income (loss)                                              $          4,083   $            751   $          (20,512)
     Adjustments to reconcile net income (loss)
        to net cash  provided by (used in) operating
        activities:
     Provision for (benefit from) deferred income tax                          1,179                217               (5,919)
     Amortization of bond issue costs                                          1,099                993                5,679
     Decrease (increase) in accrued interest
        and other receivables                                                  1,233               (152)                (517)
     Increase (decrease) in accounts payable
        and accrued expenses                                                      63              9,584                   (7)
------------------------------------------------------------------- ------------------ ------------------ --------------------
     Net cash provided by (used in) operating
        Activities                                                             7,657             11,393              (21,276)
------------------------------------------------------------------- ------------------ ------------------ --------------------
CASH FLOWS FROM INVESTING ACTIVITIES
     Additions to development and construction costs                         (56,447)           (49,704)            (394,430)
     Decrease (increase) in restricted cash
        and investments                                                       66,058             69,497              (98,181)
     Increase (decrease) in accounts payable
        and accrued expenses related to development
        and  construction activities                                         (22,361)           (36,277)              19,342
------------------------------------------------------------------- ------------------ ------------------ --------------------
     Net cash used in investing activities                                   (12,750)           (16,484)            (473,269)
------------------------------------------------------------------- ------------------ ------------------ --------------------
CASH FLOWS FROM FINANCING ACTIVITIES
     Increase in advances from affiliates                                      5,610              5,532               15,634
     Issuance of bonds payable                                                     -                  -              371,500
     Proceeds from issuance of capital stock                                       -                  -              123,836
     Bond issue costs                                                              -                  -              (13,590)
------------------------------------------------------------------- ------------------ ------------------ --------------------
     Net cash provided by financing activities                                 5,610              5,532              497,380
------------------------------------------------------------------- ------------------ ------------------ --------------------
     Net increase in cash and cash equivalents                                   517                441                2,835
     Cash and cash equivalents at beginning of period                          2,318              1,996                    -
------------------------------------------------------------------- ------------------ ------------------ --------------------
     Cash and cash equivalents at end of period                     $          2,835   $          2,437   $            2,835
=================================================================== ================== ================== ====================
SUPPLEMENTAL DISCLOSURE OF CASH
   FLOWS INFORMATION:
INTEREST PAID (NET OF AMOUNT CAPITALIZED)                           $         (9,981)  $         (2,587)  $           90,530
=================================================================== ================== ================== ====================

                                           (See accompanying notes to financial statements)
</TABLE>
<PAGE>

CE CASECNAN WATER AND ENERGY COMPANY, INC.

NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2000


Note 1 - General

In the opinion of management of CE Casecnan Water and Energy Company,  Inc. ("CE
Casecnan" or the "Company"),  the accompanying  unaudited  financial  statements
contain all adjustments (consisting only of normal recurring accruals) necessary
to present fairly the financial position of the Company as of September 30, 2000
and the results of its operations for the three and nine months ended  September
30, 2000 and 1999 and for the period from the date of inception  (September  21,
1994) to  September  30,  2000,  and its cash  flows for the nine  months  ended
September  30,  2000  and  1999 and for the  period  from the date of  inception
(September 21, 1994) to September 30, 2000.

The results of operations for the three and nine months ended September 30, 2000
and 1999 are not  necessarily  indicative  of the results to be expected for the
full year.

Note 2 - Other footnote information

Reference is made to the Company's December 31, 1999 financial statements, which
were  audited  by other  independent  accountants  in Form  10-K  that  included
information  necessary or useful to the understanding of the Company's  business
and financial statement presentations.  In particular, the Company's significant
accounting  policies and  practices  were  presented as Note 2 to the  financial
statements included in that report.

<PAGE>

CE CASECNAN WATER AND ENERGY COMPANY, INC.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF
FINANCIAL CONDITION AND RESULTS OF OPERATIONS
(in thousands)


Results of Operations

The  Company is in the  construction  stage and has not yet  started  commercial
operations.  Revenue  consists of  interest  income on cash  received  from bond
proceeds  and  equity  contributions.  Interest  income  decreased  in the third
quarter  of 2000 to  $1,858  from  $2,665 in the same  period  in 1999,  a 30.3%
decrease.  For the  nine  months  ended  September  30,  2000,  interest  income
decreased  to $6,367 from $8,958 in the same period in 1999,  a 28.9%  decrease.
These  decreases are primarily due to lower cash balances as a result of the use
of existing cash to support the ongoing development and construction activities.

Interest expense  inclusive of bond issue costs in the third quarter of 2000 was
$11,978  compared to $11,581  for the same  period in 1999.  For the nine months
ended  September  30, 2000 and 1999,  interest  expense was $35,808 and $34,648,
respectively.  Amortization  of bond  issue  costs for the three and  nine-month
periods ended September 30, 2000 were $366 and $1,099, respectively, compared to
$331 and $993 for the same  period in 1999.  Capitalized  interest  in the third
quarter of 2000  increased to $11,978 from $9,315 for the same period in 1999, a
28.6%  increase.  For the nine months  ended  September  30,  2000,  capitalized
interest  increased  to $34,915  from $26,658 for the same period in 1999, a 31%
increase.  The increases in capitalized interest resulted from higher cumulative
development and construction costs.  Interest expense,  capitalized interest and
amortization of bond issue costs relate to the notes and bonds payable issued by
the Company in the fourth quarter of 1996.

Liquidity and Capital Resources:

CE Casecnan  financed a portion of the costs of the Casecnan Project through the
issuance  of  $125,000  of its 11.45%  Senior  Secured  Series A Notes due 2005,
$171,500 of its 11.95% Senior Secured Series B Bonds due 2010 and $75,000 of its
Senior Secured Floating Rate Notes due 2002 (the  "Securities"),  pursuant to an
indenture (the "Indenture") dated as of November 27, 1995, as amended to date.


<PAGE>

The  Securities  are senior debt of the Company and are secured by a  collateral
assignment of all revenues that will be received  from the Casecnan  Project,  a
collateral  assignment  of all  material  contracts,  a lien on any accounts and
funds on deposit under a Deposit and Disbursement Agreement, a pledge of 100% of
the capital  stock of the Company  and a lien on all other  material  assets and
property. The Securities rank pari passu with and will share the collateral on a
pro rata basis with other senior secured debt, if any.

The  Securities  are  subject  to  certain  optional  and  mandatory  redemption
provisions as defined in the Indenture.  The Securities contain customary events
of default and restrictive covenants.

The  Casecnan   Project  is  being   constructed   pursuant  to  a  fixed-price,
date-certain,  turnkey  engineering,  procurement and  construction  contract to
complete the construction of the Casecnan Project (the "EPC Contract"). The work
under  the EPC  Contract  is  being  conducted  by a  consortium  consisting  of
Cooperativa  Muratori  Cementisti CMC di Ravenna and Impresa Pizzarotti & C. Spa
working  together  with  Siemens  A.G.,  Sulzer  Hydro Ltd.,  Black & Veatch and
Colenco Power Engineering Ltd. (collectively, the "Contractor").

On November 20, 1999,  following a request by the  Contractor,  the EPC Contract
was amended,  inter alia, to extend the Guaranteed  Substantial  Completion Date
for the Casecnan  Project to March 31, 2001. In connection  with such extension,
Stone & Webster, the Casecnan Project's independent engineer, confirmed that the
revised construction budget and schedule was reasonable and that funds remaining
available to the Company should be sufficient to complete the Casecnan  Project.
Accordingly,  the Casecnan Project is currently  scheduled to become operational
by the second quarter of 2001, subject to any further completion date extensions
resulting from contractor delays.

The Republic of the Philippines  ("RP") has recently been  experiencing a period
of political unrest and governmental  uncertainty relating to the impeachment of
President  Estrada which could result in a change in the  Presidency and related
changes to the RP cabinet and overall government administration.

Although the obligations of the National  Irrigation  Administration  ("NIA") to
make  payments to the Company for water and  electricity  fees under the Project
Agreement  with NIA and the  obligations  of the RP under the related  sovereign
performance undertaking are in no way dependent on maintaining any particular RP
administration  in  place or on any  particular  government's  annual  budgetary
appropriations,   it  is  possible  that  the  current  Philippine  governmental
uncertainty  could have an adverse  impact on the Casecnan  Project,  which,  as
noted  above,  is  scheduled  to  commence  commercial  operation  and  commence
receiving payments in 2001.

Certain information included in this report contains forward-looking  statements
made pursuant to the Private  Securities  Litigation Reform Act of 1995 ("Reform
Act"). Such statements are based on current expectations and involve a number of
known and unknown risks and  uncertainties  that could cause the actual  results
and  performance of the Company to differ  materially  from any expected  future
results or performance, expressed or implied, by the forward-looking statements.
In connection with the safe harbor provisions of the Reform Act, the Company has
identified   important  factors  that  could  cause  actual  results  to  differ
materially from such expectations,  including development uncertainty, operating
uncertainty,  acquisition uncertainty,  uncertainties relating to doing business
outside  of  the  United   States,   uncertainties   relating  to  domestic  and
international economic and political conditions and uncertainties  regarding the
impact of regulations,  changes in government policy,  industry deregulation and
competition. Reference is made to all of the Company's SEC filings, incorporated
herein by reference,  for a description of such factors.  The Company assumes no
responsibility to update forward-looking information contained herein.


<PAGE>

CE CASECNAN WATER AND ENERGY COMPANY, INC.


PART II - OTHER INFORMATION


Item 1 - Legal proceedings.

     Not applicable.

Item 2 - Changes in Securities.

     Not applicable.

Item 3 - Defaults on Senior Securities.

     Not applicable.

Item 4 - Submission of Matters to a Vote of Security Holders.

     Not applicable.

Item 5 - Other Information.

     Not applicable.

Item 6 - Exhibits and Reports on Form 8-K.

     (a) Exhibits:

         Exhibit 27 - Financial Data Schedule

     (b) Reports on Form 8-K:

     Not applicable.

<PAGE>

SIGNATURES


Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.



                                 CE CASECNAN WATER AND ENERGY COMPANY, INC.

Date: November 14, 2000          /s/  Patrick J. Goodman
                                 Patrick J. Goodman
                                 Senior Vice President & Chief Financial Officer