<PAGE>

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------

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

                             ---------------------

                                   FORM 10-Q
                             ---------------------

(MARK ONE)
     [X]        QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

               FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 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: 333-45124

                             ---------------------

                            EAST COAST POWER L.L.C.
             (Exact Name of Registrant as Specified in its Charter)

<Table>
<S>                                            <C>
                   DELAWARE                                      52-2143667
         (State or Other Jurisdiction                         (I.R.S. Employer
      of Incorporation or Organization)                     Identification No.)

               EL PASO BUILDING
            1001 LOUISIANA STREET
                HOUSTON, TEXAS                                     77002
   (Address of Principal Executive Offices)                      (Zip Code)
</Table>

       Registrant's Telephone Number, Including Area Code: (713) 420-2600

     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 [ ]

     98.01% of the membership interests of East Coast Power L.L.C. are owned
directly or indirectly by Mesquite Investors, L.L.C., 0.99% of its membership
interest is owned by Bonneville Pacific Corporation, and 1% of membership
interests is owned directly or indirectly by East Coast Power Holding Company,
L.L.C. Such membership interests are not publicly traded and therefore have no
separate, quantifiable market value.

--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
<PAGE>

                        PART I -- FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

                            EAST COAST POWER L.L.C.

                  CONDENSED CONSOLIDATED STATEMENTS OF INCOME
                                 (IN MILLIONS)
                                  (UNAUDITED)

<Table>
<Caption>
                                                            QUARTER ENDED     NINE MONTHS ENDED
                                                            SEPTEMBER 30,       SEPTEMBER 30,
                                                           ---------------    ------------------
                                                           2001      2000      2001       2000
                                                           -----    ------    -------    -------
<S>                                                        <C>      <C>       <C>        <C>
Operating revenues
  Electricity............................................  $31.2    $   --    $ 66.8     $   --
  Steam..................................................    0.9        --       3.1         --
                                                           -----    ------    ------     ------
                                                            32.1        --      69.9         --
                                                           -----    ------    ------     ------
Operating expenses
  Fuel...................................................   12.4        --      33.0         --
  Operation and maintenance..............................    2.2        --       7.5         --
  Depreciation and amortization..........................    6.8        --      14.8         --
  General and administrative.............................    2.2       2.1       5.6        6.0
                                                           -----    ------    ------     ------
                                                            23.6       2.1      60.9        6.0
                                                           -----    ------    ------     ------
Operating income (loss)..................................    8.5      (2.1)      9.0       (6.0)
                                                           -----    ------    ------     ------
Other (income) expense
  Earnings from unconsolidated affiliates................  (22.6)    (26.7)    (77.8)     (57.8)
  Interest and other income..............................   (1.1)     (0.6)     (2.5)      (1.5)
  Interest expense, net..................................   21.5      22.9      65.6       69.2
                                                           -----    ------    ------     ------
                                                            (2.2)     (4.4)    (14.7)       9.9
                                                           -----    ------    ------     ------
Net income (loss)........................................  $10.7    $  2.3    $ 23.7     $(15.9)
                                                           =====    ======    ======     ======
</Table>

                            See accompanying notes.

                                        1
<PAGE>

                            EAST COAST POWER L.L.C.

                     CONDENSED CONSOLIDATED BALANCE SHEETS
                                 (IN MILLIONS)
                                  (UNAUDITED)

<Table>
<Caption>
                                                              SEPTEMBER 30,   DECEMBER 31,
                                                                  2001            2000
                                                              -------------   ------------
<S>                                                           <C>             <C>
                                          ASSETS


Current assets
  Cash and cash equivalents.................................    $   21.4        $    4.3
  Restricted cash...........................................        14.7            12.7
  Accounts receivable, net..................................        19.4              --
  Inventory.................................................         7.6              --
  Other current assets......................................         0.6             0.6
                                                                --------        --------
          Total current assets..............................        63.7            17.6
                                                                --------        --------
Investments in affiliates
  Cogen Technologies Linden Venture, L.P. ..................       760.9           778.2
  Camden Cogen, L.P.........................................       170.4           179.4
  Cogen Technologies NJ Venture.............................          --           178.9
                                                                --------        --------
          Total investments in affiliates...................       931.3         1,136.5
                                                                --------        --------
Property, plant and equipment, at cost
  Plant and equipment.......................................        65.9             0.5
  Construction in progress..................................        99.4            72.9
                                                                --------        --------
                                                                   165.3            73.4
  Less accumulated depreciation.............................         2.4             0.2
                                                                --------        --------
          Total property, plant and equipment, net..........       162.9            73.2
                                                                --------        --------
Other assets
  Intangible assets, net....................................       163.9              --
  Other.....................................................        11.8            12.5
                                                                --------        --------
                                                                   175.7            12.5
                                                                --------        --------
          Total assets......................................    $1,333.6        $1,239.8
                                                                ========        ========

                             LIABILITIES AND MEMBERS' EQUITY
Current liabilities
  Accounts payable..........................................    $    5.5        $    0.2
  Accounts payable, affiliate...............................        15.0            14.9
  Current maturities of long-term debt......................        55.7            37.7
  Accrued liabilities.......................................         3.4             2.2
  Interest payable..........................................         4.6             3.4
                                                                --------        --------
          Total current liabilities.........................        84.2            58.4
                                                                --------        --------
Long-term debt, less current maturities.....................     1,156.6         1,146.2
                                                                --------        --------
Commitments and contingencies
Members' equity
  Members' equity...........................................        95.6            35.2
  Accumulated other comprehensive income....................        (2.8)             --
                                                                --------        --------
          Total members' equity.............................        92.8            35.2
                                                                --------        --------
          Total liabilities and members' equity.............    $1,333.6        $1,239.8
                                                                ========        ========
</Table>

                            See accompanying notes.

                                        2
<PAGE>

                            EAST COAST POWER L.L.C.

                CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                                 (IN MILLIONS)
                                  (UNAUDITED)

<Table>
<Caption>
                                                                NINE MONTHS ENDED
                                                                  SEPTEMBER 30,
                                                                ------------------
                                                                 2001       2000
                                                                -------    -------
<S>                                                             <C>        <C>
Cash flows from operating activities
  Net income (loss).........................................    $ 23.7     $(15.9)
  Adjustments to reconcile net income (loss) to net cash
     from operating activities
     Distributed earnings of unconsolidated affiliates
       Earnings from unconsolidated affiliates..............     (77.8)     (57.8)
       Distributions from unconsolidated affiliates.........     106.8      123.1
     Depreciation and amortization..........................      14.8         --
     Net gain on the sale of assets.........................      (1.4)        --
  Working capital changes, net of non-cash transactions.....      (8.4)      (2.3)
                                                                ------     ------
          Net cash provided by operating activities.........      57.7       47.1
                                                                ------     ------
Cash flows from investing activities
  Cash paid for additional interest in Cogen Technologies NJ
     Venture................................................     (16.0)        --
  Advances under the short-term loan to unconsolidated
     affiliates.............................................      (8.0)        --
  Payments on the short-term loan to unconsolidated
     affiliates.............................................       8.0         --
  Purchases of property, plant and equipment................     (26.8)     (29.4)
  Change in accounts payable, affiliates....................      (3.6)        --
  Proceeds from the sale of assets..........................       1.5         --
                                                                ------     ------
          Net cash used in investing activities.............     (44.9)     (29.4)
                                                                ------     ------
Cash flows from financing activities
  Short-term borrowings under subordinated credit
     facility...............................................        --        1.0
  Repayment under senior secured notes......................     (15.1)        --
  Principal payments on long-term debt......................     (15.3)     (21.0)
  Debt issuance costs.......................................        --       (1.0)
  Contributions received....................................      36.7         --
  Change in restricted cash.................................      (2.0)       0.1
                                                                ------     ------
          Net cash provided by (used in) financing
           activities.......................................       4.3      (20.9)
                                                                ------     ------
Increase (decrease) in cash and cash equivalents............      17.1       (3.2)
Cash and cash equivalents
  Beginning of period.......................................       4.3        3.2
                                                                ------     ------
  End of period.............................................    $ 21.4     $   --
                                                                ======     ======
Cash paid for interest, net of amount capitalized...........    $ 65.1     $ 69.5
                                                                ======     ======
</Table>

                            See accompanying notes.

                                        3
<PAGE>

                            EAST COAST POWER L.L.C.

              NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
                                  (UNAUDITED)

1. BASIS OF PRESENTATION

     We are a Delaware limited liability company comprised of three members.
Mesquite Investors, L.L.C. owns common membership interests in us with a 98.01
percent sharing ratio. Mesquite Investors is owned indirectly by Limestone
Electron Trust and El Paso Corporation. Bonneville Pacific Corporation, a wholly
owned subsidiary of Mesquite Investors, owns common membership interests in us
with a 0.99 percent sharing ratio. East Coast Power Holding Company, L.L.C.,
which is indirectly owned by Enron Corporation, retains a preferred membership
interest in us with a 1 percent sharing ratio.

     Our December 31, 2000, audited financial statements, as presented in our
registration statement on Form S-4/A, include a summary of our significant
accounting policies and other disclosures. You should read those financial
statements in conjunction with this Quarterly Report on Form 10-Q. The financial
statements as of September 30, 2001, and for the quarters and nine months ended
September 30, 2001 and 2000, are unaudited. The balance sheet as of December 31,
2000, is derived from our audited financial statements included in our
registration statement on Form S-4/A. These financial statements have been
prepared pursuant to the rules and regulations of the U.S. Securities and
Exchange Commission and do not include all disclosures required by accounting
principles generally accepted in the United States. In our opinion, we have made
all adjustments, all of which are of a normal, recurring nature, to fairly
present our interim period results. Information for interim periods may not
necessarily indicate the results of operations for the entire year due to the
seasonal nature of our business. The prior period information also includes
reclassifications which were made to conform to the current period presentation,
including the reclassification of earnings from unconsolidated affiliates from
operating revenues to other income. These reclassifications have no effect on
our reported net income (loss) or members' equity.

     Our accounting policies are consistent with those discussed in our Form
S-4/A, except as discussed below. You should refer to our Form S-4/A for a
further discussion of those policies.

  Intangible Assets

     Our intangible assets represent the value that was assigned to the Cogen
Technologies NJ Venture, commonly known as Bayonne Venture, power purchase
agreements in conjunction with the acquisitions of the interests in Bayonne
Venture. The intangible assets are amortized ratably as we recognize revenue
under the power purchase agreements.

  Derivative Instruments

     We record all derivative instruments on the balance sheet at their fair
value under the provisions of Statement of Financial Accounting Standards (SFAS)
No. 133, Accounting for Derivatives and Hedging Activities. For those
instruments entered into to hedge risk and which qualify as hedges, we apply the
provisions of SFAS No. 133, and the accounting treatment depends on each
instrument's intended use and how it is designated. Derivative instruments that
qualify as hedges may be designated as fair value hedges, cash flow hedges,
foreign currency hedges or net investment hedges as defined in SFAS No. 133.

     In addition to its designation, a hedge must be effective. To be effective,
the value of the derivative or its resulting cash flows must substantially
offset changes in the value or cash flows of the item being hedged. If it is
determined that the hedge is no longer effective, hedge accounting is
discontinued prospectively. Hedge accounting is also discontinued when:

     - the derivative instrument expires or is sold, terminated or exercised;

     - it in no longer probable that the forecasted transaction will occur;

     - the hedged firm commitment no longer meets the definition of a firm
       commitment; or
                                        4
<PAGE>

     - management determines that the designation of the derivative instrument
       as a hedge is no longer appropriate.

     At the time we enter into a hedge, we formally document relationships
between the hedging instrument and the hedged item. This documentation includes:

     - the nature of the risk being hedged;

     - our risk management objectives and strategies for undertaking the hedging
       activity;

     - a description of the hedged item and the derivative instrument used to
       hedge the item;

     - a description of how effectiveness is tested at the inception of the
       hedge; and

     - how effectiveness will be tested on an ongoing basis.

     During the normal course of business, we may enter into contracts that
qualify as derivatives under the provisions of SFAS No. 133. As a result, we
evaluate our contracts to determine whether derivative accounting is
appropriate. Contracts that meet the criteria of a derivative and qualify as
"normal purchases" and "normal sales", as those terms are defined in SFAS No.
133, may be excluded from SFAS No. 133 treatment.

     At this time, only our equity investee, Camden Cogen L.P., has entered into
a cash flow hedge. The accounting treatment for cash flow hedges is as follows.
Changes in the fair value of the derivative are recorded in other comprehensive
income for the portion of the change in value of the derivative that is
effective. The ineffective portion of the derivative is recorded in earnings in
the current period. Classification in the income statement, of the ineffective
portion, is based on the income classification of the item being hedged.

2. THE BAYONNE ACQUISITION

     In March 2001, we acquired the remaining 7.875 percent partnership
interests in Bayonne Venture from unaffiliated parties. As a result, we became
the sole owner of, and began consolidating in our financial statements, the
Bayonne Venture. We financed this acquisition primarily through cash
contributions from Mesquite Investors and Bonneville Pacific. Had this
transaction to acquire the remaining partnership interests in Bayonne Venture
been effective as of January 1, 2001, the proforma revenue and net income for
the nine months ended September 30, 2001, would have been $151.8 million and
$23.6 million. Had this transaction to acquire the remaining partnership
interests in Bayonne Venture been effective as of January 1, 2000, the proforma
revenue and net loss for the nine months ended September 30, 2000 would have
been $80.7 million and $15.3 million.

                                        5
<PAGE>

3. INVESTMENTS IN AFFILIATES

     The following table presents summary income statement information for our
equity investments:

<Table>
<Caption>
                                 LINDEN VENTURE                  CAMDEN VENTURE                  BAYONNE VENTURE
                          -----------------------------   -----------------------------   -----------------------------
                           NINE MONTHS     NINE MONTHS     NINE MONTHS     NINE MONTHS     NINE MONTHS     NINE MONTHS
                              ENDED           ENDED           ENDED           ENDED           ENDED           ENDED
                          SEPTEMBER 30,   SEPTEMBER 30,   SEPTEMBER 30,   SEPTEMBER 30,   SEPTEMBER 30,   SEPTEMBER 30,
                              2001            2000            2001            2000           2001(1)          2000
                          -------------   -------------   -------------   -------------   -------------   -------------
                                                                  (IN MILLIONS)
<S>                       <C>             <C>             <C>             <C>             <C>             <C>
Operating revenues
  Electricity...........     $310.2          $257.3           $87.1           $67.1           $25.6           $80.6
  Steam.................       23.0            14.2             0.1              --             3.2             4.2
                             ------          ------           -----           -----           -----           -----
                              333.2           271.5            87.2            67.1            28.8            84.8
                             ------          ------           -----           -----           -----           -----
Operating expenses
  Fuel..................      172.9           144.1            50.0            35.6            21.4            43.8
  Operation and
    maintenance.........       23.9            12.5             3.9             4.6             4.4             7.0
  Depreciation and
    amortization........       12.0            11.5             2.9             2.8             0.7             2.2
  General and
    administrative......        1.8             1.2             1.0             0.9             0.2             1.8
  Taxes, other than
    income taxes........        1.3             1.3             0.3             0.4             0.1             0.4
                             ------          ------           -----           -----           -----           -----
                              211.9           170.6            58.1            44.3            26.8            55.2
                             ------          ------           -----           -----           -----           -----
Operating income........      121.3           100.9            29.1            22.8             2.0            29.6
                             ------          ------           -----           -----           -----           -----
Other (income) expense
  Interest and other
    income..............       (3.9)           (0.5)           (0.3)           (0.4)           (0.3)           (0.2)
  Interest expense......         --              --             4.4             4.8             1.5             5.2
                             ------          ------           -----           -----           -----           -----
                               (3.9)           (0.5)            4.1             4.4            (1.2)            5.0
                             ------          ------           -----           -----           -----           -----
         Net income.....     $125.2          $101.4           $25.0           $18.4           $ 0.8           $24.6
                             ======          ======           =====           =====           =====           =====
</Table>

---------------

(1) In March 2001, we acquired the remaining 7.875 percent interest in Bayonne
    Venture from unaffiliated parties. As a result, we are the sole owner of
    Bayonne Venture whose financial statements were consolidated March 13, 2001.
    Therefore, the income statement information presented for Bayonne Venture
    includes operating activities from January 1, 2001 to March 12, 2001.

4. DEBT AND FINANCING TRANSACTIONS

     Our debt consisted of the following:

<Table>
<Caption>
                                                              SEPTEMBER 30,   DECEMBER 31,
                                                                  2001            2000
                                                              -------------   ------------
                                                                     (IN MILLIONS)
<S>                                                           <C>             <C>
Long-Term Debt
  Senior secured notes......................................    $  802.1        $  817.1
  Subordinated note with affiliates.........................       187.9           187.9
  Linden Ltd. term loan.....................................       165.5           178.9
  Bayonne term loan.........................................        56.3              --
  Bayonne equipment loan....................................         0.5              --
                                                                --------        --------
                                                                 1,212.3         1,183.9
  Less current maturities...................................        55.7            37.7
                                                                --------        --------
Long-term debt, less current maturities.....................    $1,156.6        $1,146.2
                                                                ========        ========
</Table>

                                        6
<PAGE>

     On November 1, 2001, the Bayonne term loan was prepaid in full in the
amount of $69.4 million, including $13.8 million of prepayment premium, along
with all outstanding principal and accrued interest. We funded the prepayment
with a subordinated promissory note from an affiliate of El Paso. Amounts
outstanding under the subordinated promissory note bear interest at 10.5% per
annum and interest is payable monthly. The principal amount plus unpaid and
accrued interest is due upon demand of the payee. Mesquite Investors and
Bonneville Pacific have guaranteed our obligations under this note.

5. ACCOUNTING FOR DERIVATIVES INSTRUMENTS

     On January 1, 2001, we adopted the provisions of SFAS No. 133 and recorded
a cumulative effect adjustment in other comprehensive income. The initial
charge, which did not have a material impact on our financial position, was
related to an interest rate swap on Camden Venture, our equity investee.

     Camden Venture entered into an interest rate swap to effectively hedge
$81.6 million of debt at a fixed rate of 5.945%. The swap was designated as a
cash flow hedge in accordance with the provisions of SFAS No. 133 and
effectiveness testing at inception and on an ongoing basis is based on the
shortcut method. The shortcut method of testing requires, among other
conditions, that the notional amount of the swap to be equal at all times to the
outstanding principal balance of the hedged item, the principal balance of the
assigned amount of the Camden Venture Term Loan. This method of testing allows
us to assume no ineffectiveness in the hedging relationship and, thus, no
resulting income effect due to the change in the value of the swap. As of
September 30, 2001, our allocated share of the Camden Venture interest rate swap
was an unrealized loss of $2.8 million which is recorded in other comprehensive
income.

6. COMMITMENTS AND CONTINGENCIES

  Linden 6 Expansion Project

     During February 2000, we entered into an energy services agreement with
Tosco Refining L.P., a subsidiary of Tosco Corporation, under which we are
required to construct, own and operate the Linden 6 facility, a 172-megawatt
cogeneration facility on part of the existing Linden site under a sublease
entered into with Cogen Technologies Linden Venture, L.P. Linden 6 will be owned
and operated by our wholly owned subsidiary. The estimated $107 million cost of
Linden 6 will be financed with cash flows from operations and owner capital
contributions. The energy services agreement contemplates an in-service date of
January 8, 2002. In the event Linden 6 is not in service by January 23, 2002,
the energy services agreement requires us to make delay payments in the amount
of $18,000 per day for the first 60 days and $36,000 for each day thereafter. In
connection with the energy services agreement, we entered into a $91.8 million,
fixed price, engineering, procurement and construction agreement with National
Energy Production Corporation, an affiliate of Enron. Under the engineering,
procurement and construction agreement, National Energy Production had
guaranteed completion of Linden 6 by late October 2001. Due to delays in
construction, we have begun to invoice for liquidating damages to be collected
from National Energy Production in the amount of $36,000 per day. Liquidating
damages collected from National Energy Production will be recorded as a
reduction of the construction costs of Linden 6. Linden 6 is expected to be
fully operational by January 11, 2002. Total expenditures for Linden 6 were
$99.4 million as of September 30, 2001, and $46.1 million as of September 30,
2000, which are recorded as construction in progress. Interest costs related to
the construction of Linden 6 are capitalized to construction in progress. We
capitalized interest of $7.7 million as of September 30, 2001, and $2.6 million
as of September 30, 2000.

     In connection with obtaining the consent of the Linden Venture partners and
lenders for the transactions, we have indemnified Linden Venture from any and
all losses that may be incurred as a result of Linden 6. Enron and El Paso
guaranteed our obligations under this indemnity in an aggregate amount of $15.0
million. In connection with Mesquite Investors acquiring us, Enron's obligation
under the guarantee was assumed by El Paso.

                                        7
<PAGE>

  Legal Proceedings

     On June 30, 2000, Infineum USA L.P. filed an action against Linden Venture
in the United States District Court for the District of New Jersey seeking an
unspecified amount of actual and punitive damages. Infineum's petition claims
that Linden Venture interfered with Infineum USA's ability to sell steam to
Bayway Refining Company, a subsidiary of Tosco, that Infineum USA purchases from
the Linden facility. Infineum USA claims that such interference is in violation
of federal and New Jersey antitrust laws, is in breach of Linden Venture's
agreement with Infineum USA and has tortuously interfered with Infineum USA's
economic relationships with Bayway. Linden Venture filed an answer and a
counterclaim on September 26, 2000. On September 28, 2000, an initial scheduling
conference was held before the court. During the scheduling conference, Linden
Venture asked the court to initially limit discovery to resolve the fundamental
issue of whether Infineum USA is indeed a competitor of Linden Venture with
standing to bring antitrust claims. The court, by order dated October 11, 2000,
set an expedited discovery schedule limited to the standing issue. The order
also granted Linden Venture the option to submit a dispositive motion
challenging Infineum USA's standing to bring its antitrust claims. Linden
Venture filed its motion on January 5, 2001, in accordance with court rules. On
September 7, 2001, oral arguments were heard by the Court on Linden Venture's
motion. The court requested supplemental briefings from the parties which were
submitted on September 21, 2001. This motion is still pending before the court.
Management believes the claims made in this litigation are without merit, and
management intends to vigorously defend against these claims. Although no
assurances can be given, management believes that based upon information known
to date, the ultimate resolution of this litigation will not have a material
adverse effect on Linden Venture's or our financial position, operating results
or cash flows.

     Robert C. McNair, members of his immediate family and related trusts, have
indemnified us against any and all damages, losses, liabilities and expenses
with respect to an environmental lawsuit filed in Louisiana state court against
a predecessor entity of McNair Energy Services Corporation.

     While the outcome of the matters discussed above cannot be predicted with
certainty, based upon information known to date, we do not expect that the
ultimate resolution of these matters to have a material adverse effect on our
financial position, operating results or cash flows.

7. INTERIM OPERATING AGREEMENTS

     During 2000, Camden Venture entered into an interim operating agreement
with the Public Service Electric and Gas Company of New Jersey. Under this
agreement, Camden Venture agreed to shut down the Camden Venture facility from
November 1, 2000 through May 31, 2001, to allow Public Service Electric to
resell the gas otherwise provided to the facility under the gas service
agreement. In return, Camden Venture realized an energy and capacity payment
equal to 149 megawatts per hour, every hour, for the term of the agreement plus
50 percent of the savings realized by Public Service Electric in this
transaction.

     For various economic reasons, effective January 23, 2001, Bayonne Venture
chose to reduce electric output to the minimum level necessary to serve its
steam customers. Simultaneously, Bayonne Venture entered into interim operating
agreements with Public Service Electric and Jersey Central Power and Light.
Public Service Electric, in its interim operating agreement, agreed to accept
100 percent of the electricity generated from this reduced output (up to
approximately 45 megawatts). The term of the interim operating agreement was
from January 23, 2001 through May 31, 2001. As an incentive to enter into this
agreement, Public Service Electric agreed to accept payment of $1.8 million.
Public Service Electric also agreed to waive any variable demand-wheeling
charges (approximately $40,000 per month) it would have otherwise collected from
Bayonne Venture to wheel electricity to Jersey Central Power. Jersey Central
Power, in its interim operating agreement, agreed not to accept any generation
from Bayonne Venture in return for a 5 percent discount off the power purchase
agreement rates. Bayonne Venture gave a rebate to Jersey Central Power for the
value of the power it would have otherwise provided (125 megawatts) at wholesale
market rates known as day-ahead locational marginal pricing in the Pennsylvania
Jersey Maryland system. Bayonne Venture entered into an electricity swap
agreement with an affiliate to exchange a floating electricity rate, which was
derived

                                        8
<PAGE>

from the power purchase agreement, for a fixed rate which settled monthly. The
electricity swap expired on May 31, 2001, and Bayonne Venture recognized a $1.4
million loss upon settlement.

8. RESTRUCTURING OF POWER PURCHASE AGREEMENTS

     On May 23, 2001, we reached an agreement, subject to lender, partner, and
other unaffiliated party approval and on-going negotiations, with the Public
Services Electric to restructure the long-term Public Service Electric power
purchase agreements relating to our Camden Venture and Bayonne Venture
facilities. Completion of the restructuring is subject to customary conditions
to closing for similar transactions, including prior approval by the New Jersey
Board of Public Utilities. On July 19, 2001, the New Jersey Board approved the
restructuring, and we received written approval on July 27, 2001. This order
became final and non-appealable on September 11, 2001. However, since many of
the conditions to closing, such as securing financing, are outside of our
control, we cannot assure that we will be able to complete the restructuring. We
also agreed with Public Service Electric to modifications of the Public Service
Electric gas service agreements relating to the Camden Venture and Bayonne
Venture facilities effective upon the consummation of the restructuring.

     If the restructuring is consummated, our Camden Venture and Bayonne Venture
facilities will be released from their obligations under their current power
purchase agreements with Public Service Electric. Under the current power
purchase agreements, Public Service Electric is required to purchase all power
produced by our Camden Venture facility and approximately 24 percent of the
electrical output at the Bayonne Venture facility, at established prices. In
contemplation of the restructuring, Camden Venture will enter into a new power
purchase agreement with an affiliate of El Paso for the entire output of the
facility at rates that are expected to cover all of the facility's fixed and
variable costs. Also, the facility will qualify as an exempt wholesale generator
under the Energy Policy Act of 1992, rather than a qualifying facility under the
Public Utility Regulatory Policies Act of 1978. Additionally, Bayonne Venture
has entered into a new fixed price power purchase agreement with an affiliate of
El Paso for approximately 24 percent of the electrical output of the Bayonne
Venture facility that had been purchased by Public Service Electric. The
effectiveness of such new power purchase agreements is conditioned upon the
occurrence of the restructuring, among other things. It is possible that our
financial position, operating results and cash flows, with respect to the
Bayonne Venture facility, will be somewhat more volatile than if the
restructuring were not implemented, and the long-term power purchase contracts
with Public Service Electric remained in place. Such volatility in our cash
flows from the Bayonne Venture facility could in turn adversely affect our
ability to pay the notes and our other debt. In conjunction with the
restructuring of the power purchase agreements, the plants could be impaired.
Such impairments, if so incurred, would result in the plants being written down
to the post-restructuring fair market value. These potential impairments could
have a material adverse effect on our financial position, results of operations
and cash flows.

     The restructuring could be deemed a power contract buyout under the
indenture executed in connection with our notes, in which case we expect to seek
confirmation from the rating agencies that the restructuring will not cause a
Rating Downgrade. We expect to receive ratings reaffirmation from the rating
agencies with the understanding that the mandatory redemption of our notes
without premium will be $176.4 million. On November 9, 2001, we provided
official notice of redemption to the trustee.

9. COMPREHENSIVE INCOME

     Comprehensive income includes the following:

<Table>
<Caption>
                                                  QUARTER ENDED             NINE MONTHS ENDED
                                                  SEPTEMBER 30,               SEPTEMBER 30,
                                                -----------------          -------------------
                                                2001         2000          2001          2000
                                                -----        ----          -----        ------
                                                                (IN MILLIONS)
<S>                                             <C>          <C>           <C>          <C>
Net income....................................  $10.7        $2.3          $23.7        $(15.9)
Change in value of cash flow hedge............   (3.7)         --           (2.8)           --
                                                -----        ----          -----        ------
Total comprehensive income....................  $ 7.0        $2.3          $20.9        $(15.9)
                                                =====        ====          =====        ======
</Table>

                                        9
<PAGE>

10. NEW ACCOUNTING PRONOUNCEMENTS NOT YET ADOPTED

  Goodwill and Other Intangible Assets

     In July 2001, the Financial Accounting Standards Board (FASB) issued SFAS
No. 142, Goodwill and Other Intangible Assets. This statement requires that
goodwill no longer be amortized but intermittently tested for impairment at
least on an annual basis. Other intangible assets are to be amortized over their
useful life and reviewed for impairment in accordance with the provisions of
SFAS No. 121, Accounting for the Impairment of Long-Lived Assets and Long-Lived
Assets to be Disposed of. An intangible asset with an indefinite useful life can
no longer be amortized until its useful life becomes determinable. This
statement has various effective dates, the most significant of which is January
1, 2002. We are currently evaluating the effects of this pronouncement.

  Accounting for Asset Retirement Obligations

     In August 2001, the FASB issued SFAS No. 143, Accounting for Asset
Retirement Obligations. This statement requires companies to record a liability
relating to the retirement and removal of assets used in their business. The
liability is discounted to the present value, and the related asset value is
increased by the amount of the resulting liability. Over the life of the asset,
the liability will be accreted to its future value and eventually extinguished
when the asset is taken out of service. The provisions of this statement are
effective for fiscal years beginning after June 15, 2002. We are currently
evaluating the effects of this pronouncement.

  Accounting for the Impairment or Disposal of Long-Lived Assets

     In October 2001, the FASB issued SFAS No. 144, Accounting for the
Impairment or Disposal of
Long-Lived Assets. This statement requires that long-lived assets that are to be
disposed of by sale be measured at the lower of book value or fair value less
cost to sell. The standard also expanded the scope of discontinued operations to
include all components of an entity with operations that can be distinguished
from the rest of the entity and will be eliminated from the ongoing operations
of the entity in a disposal transaction. The provisions of this statement are
effective for fiscal years beginning after December 15, 2001. We are currently
evaluating the effects of this pronouncement.

  Derivatives Implementation Group Issue C-16

     In September 2001, the Derivatives Implementation Group of the FASB cleared
guidance on Issue C-16, Scope Exceptions: Applying the Normal Purchases and
Normal Sales Exception to Contracts that Combine a Forward Contract and a
Purchased Option Contract. This guidance impacts the accounting for fuel supply
contracts that require delivery of a contractual minimum quantity of fuel at a
fixed price and have an option that permits the holder to take specified
additional amounts of fuel at the same fixed price at various times. This new
guidance will require companies to account for these contracts as derivative
instruments under SFAS No. 133, and will require them to be recorded at their
fair value. We use fuel supply contracts in our power producing operations and
currently do not reflect them in our balance sheet since they are considered
normal purchases that are not classified as derivative instruments under SFAS
No. 133 and its current interpretation. This new guidance becomes effective in
the second quarter of 2002. We are currently evaluating the impact of this
guidance on our financial statements.

                                        10
<PAGE>

ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

     The information contained in Item 2 should be read in conjunction, with
information disclosed in our amended registration statement on Form S-4/A
(Registration No. 333-45124) dated August 8, 2001, in addition to the financial
statements and notes presented in Item 1, Financial Statements, of this
Quarterly Report on Form 10-Q.

GENERAL

     We are a Delaware limited liability company comprised of three members:
Mesquite Investors, L.L.C. owns common membership interests in us with a 98.01
percent sharing ratio. Bonneville Pacific Corporation, a wholly owned subsidiary
of Mesquite Investors, owns common membership interests in us with a 0.99
percent sharing ratio. East Coast Power Holding Company, L.L.C., who is
indirectly owned by Enron Corporation, retains a preferred membership interest
in us with a 1 percent sharing ratio.

INTEREST IN BAYONNE VENTURE

     In March 2001, we acquired the remaining 7.875 percent partnership
interests in Bayonne Venture from unaffiliated parties. The acquisition of the
remaining interests in Bayonne Venture removed all participative rights of the
other partners and, as a result, we began consolidating Bayonne Venture into our
financial statements.

ADMINISTRATIVE AND GAS SERVICES SUPPORT AGREEMENT

     Effective as of April 1, 2001, we entered into the administrative and gas
services support agreement with El Paso to provide gas management,
administrative, accounting and finance services for us. The administrative and
gas services support agreement originally provides for an annual fee of $3.6
million adjusted annually for increases in the Consumer Price Index and is
renewed annually.

                             RESULTS OF OPERATIONS

     The following are our results for the third quarter of 2001 compared to the
third quarter of 2000 and for the nine months ended September 30, 2001 compared
to the nine months ended September 30, 2000. The operating results discussed
below are not necessarily indicative of the results that may be achieved for any
subsequent or prior three-month or nine-month periods or for a full year.

  Third Quarter 2001 Compared to Third Quarter 2000

     Operating revenues for the quarter ended September 30, 2001, were $32.1
million higher than the same period in 2000. The increase was due to the
consolidation of Bayonne Venture beginning in March 2001 as a result of our
purchase of the remaining interest in Bayonne Venture.

     Operating expenses were $23.6 million for the quarter ended September 30,
2001, compared to $2.1 million for the same quarter in 2000. The increase was
due to the consolidation of Bayonne Venture beginning in March 2001 as a result
of our purchase. Interest expense decreased by $1.4 million to $21.5 million for
the quarter ended September 30, 2001, compared to $22.9 million for the same
quarter in 2000 due to the increase of capitalized construction costs and a
lower outstanding debt balance.

     Earnings from unconsolidated affiliates for the quarter ended September 30,
2001, were $4.1 million lower than the same quarter in 2000. The decrease was
due to the consolidation of Bayonne Venture beginning in March 2001. As a
result, Bayonne Venture's earnings are consolidated into the operating results
for the quarter ended September 30, 2001, whereas they were presented as
earnings from unconsolidated affiliates, which is a component of other income,
for the same quarter in 2000.

                                        11
<PAGE>

  Nine Months Ended September 30, 2001 Compared to Nine Months Ended September
  30, 2000

     Operating revenues for the nine months ended September 30, 2001, were $69.9
million higher than the same period in 2000. The increase was due to the
consolidation of Bayonne Venture beginning in March 2001 as a result of our
purchase.

     Operating expenses for the nine months ended September 30, 2001, were $60.9
million compared to $6.0 million for the same period in 2000. The increase was
due to the consolidation of Bayonne Venture beginning in March 2001 as a result
of our purchase. Interest expense decreased by $3.6 million for the nine months
ended September 30, 2001, compared to the same period in 2000 due to the
increase in capitalized construction costs and a lower outstanding debt balance.

     Earnings from unconsolidated affiliates for the nine months ended September
30, 2001, were $20.0 million higher than the same period in 2000. The increase
was due primarily to higher fuel cost recoveries on Linden Venture, partially
offset by the consolidation of Bayonne Venture from March 13, 2001. As a result,
Bayonne Venture's earnings are consolidated into the operating results for the
nine months ended September 30, 2001, whereas they were presented as earnings
from unconsolidated affiliates, which is a component of other income, for the
same period in 2000.

LIQUIDITY AND CAPITAL RESOURCES

  Acquisition Financing

     The terms of our outstanding notes limit our ability to pay dividends,
incur additional indebtedness, make payments on subordinated debt and make
certain other restricted payments. The terms of our outstanding notes also
require us to fund a debt service reserve account unless we provide acceptable
debt service credit support in the form of an undertaking or an acceptable
letter of credit. El Paso has provided the required undertaking, and, therefore,
we are not currently funding the debt service reserve account.

     For the nine months ended September 30, 2001 and 2000, we received $106.8
million and $123.1 million in cash distributions from unconsolidated affiliates.
The decrease in 2001 is primarily related to our consolidation of Bayonne
Venture effective March 2001.

     Our loan agreements require us to maintain compliance with certain
financial covenants. We believe that we are in compliance with the terms and
conditions of the loan agreements as of September 30, 2001.

     In March 2001, we acquired the remaining 7.875 percent interest in Bayonne
Venture from unaffiliated parties. As a result, we are the sole owner of Bayonne
Venture. We financed these acquisitions primarily through cash contributions
from Mesquite Investors and Bonneville Pacific.

     Because the ratings assigned to our notes were confirmed by the rating
agencies following the change in ownership, we were not required to offer to
repurchase the notes after that change in ownership, as defined in the
indenture. While the change in ownership represents a change in control, the
financial statements have not been adjusted to fair market value because we have
publicly-traded debt.

  Capital Expenditures

     During February 2000, we entered into an energy services agreement with
Tosco Refining L.P., a subsidiary of Tosco Corporation, under which we are
required to construct, own and operate the Linden 6 facility, a 172-megawatt
cogeneration facility on part of the existing Linden site under a sublease
entered into with Linden Venture. Linden 6 will be owned and operated by a
wholly owned subsidiary of us. The estimated $107 million cost of Linden 6 will
be financed with cash flows from operations and owner capital contributions. The
energy services agreement contemplates an in-service date of January 8, 2002. In
the event Linden 6 is not in service by January 23, 2002, the energy services
agreement requires us to make delay payments in the amount of $18,000 per day
for the first 60 days and $36,000 for each day thereafter. In connection with
the energy services agreement, we entered into a $91.8 million, fixed price,
engineering, procurement and

                                        12
<PAGE>

construction agreement with National Energy Production Corporation, an affiliate
of Enron. Under the engineering, procurement and construction agreement,
National Energy Production has guaranteed completion of Linden 6 by late October
2001. Due to delays in construction, we have begun to invoice for liquidating
damages to be collected from National Energy Production in the amount of $36,000
per day. Liquidating damages collected from National Energy Production will be
recorded as a reduction of the construction costs of Linden 6. Linden 6 is
expected to be fully operational by January 11, 2002. Total expenditures for
Linden 6 were $99.4 million as of September 30, 2001 and $46.1 million as of
September 30, 2000, which have been capitalized as construction in progress.
Interest costs related to the construction of Linden 6 are capitalized to
construction in progress. We capitalized interest of $7.7 million as of
September 30, 2001, and $2.6 million as of September 30, 2000.

     In addition to the engineering, procurement and construction agreement, we
also entered into a ground lease with Tosco to provide a site for the
interconnection of Linden 6, and three additional ground leases with Bayway
Refining Company, a subsidiary of Tosco, to provide sites for future development
projects. Required consent has been obtained from the Linden Venture partners
and lenders for these transactions.

     In connection with obtaining the consent of the Linden Venture partners and
lenders for the transactions, we have indemnified Linden Venture from any and
all losses that may be incurred as a result of Linden 6. Enron and El Paso
guaranteed our obligations under this indemnity in an aggregate amount of $15.0
million. In connection with Mesquite Investors acquiring us, Enron's obligation
under the guarantee was assumed by El Paso.

     In addition, the energy services agreement requires an amendment to the
steam sale agreement between Bayway Refining Company, a subsidiary of Tosco, and
Linden Venture to increase the minimum amounts of steam Bayway Refining Company
is required to take.

     Future capital expenditures by us will be financed by cash flows from
operations and cash contributions by our members.

                                      DEBT

     See Item 1, Financial Statements, Note 4, which is incorporated herein by
reference.

                     ACCOUNTING FOR DERIVATIVE INSTRUMENTS

     See Item 1, Financial Statements, Note 5, which is incorporated herein by
reference.

                         COMMITMENTS AND CONTINGENCIES

     See Item 1, Financial Statements, Note 6, which is incorporated herein by
reference.

                          INTERIM OPERATING AGREEMENTS

     See Item 1, Financial Statements, Note 7, which is incorporated herein by
reference.

                   RESTRUCTURING OF POWER PURCHASE AGREEMENTS

     See Item 1, Financial Statements, Note 8, which is incorporated herein by
reference.

                 NEW ACCOUNTING PRONOUNCEMENTS NOT YET ADOPTED

     See Item 1, Financial Statements, Note 10, which is incorporated herein by
reference.

                                        13
<PAGE>

      CAUTIONARY STATEMENT FOR PURPOSES OF THE "SAFE HARBOR" PROVISIONS OF
              THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

     This report contains or incorporates by reference forward-looking
statements within the meaning of the Private Securities Litigation Reform Act of
1995. Where any forward-looking statement includes a statement of the
assumptions or bases underlying the forward-looking statement, we caution that,
while we believe these assumptions or bases to be reasonable and to be made in
good faith, assumed facts or bases almost always vary from the actual results,
and the differences between assumed facts or bases and actual results can be
material, depending upon the circumstances. Where, in any forward-looking
statement, we or our management express an expectation or belief as to future
results, that expectation or belief is expressed in good faith and is believed
to have a reasonable basis. We cannot assure you, however, that the statement of
expectation or belief will result or be achieved or accomplished. The words
"believe," "expect," "estimate," "anticipate" and similar expressions will
generally identify forward-looking statements.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

     Our exposure to interest rate risk results from the Linden Ltd. term loan.
In regards to the floating rate and working capital portion of this loan, a 10%
fluctuation in London Interbank Offered Rate rates and in financial commercial
paper rates in effect during 2001 would not have a material adverse effect on
our financial position, operation results or cash flows.

                                        14
<PAGE>

                          PART II -- OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

     See Part I, Item 1, Financial Statements, Note 6, which is incorporated
herein by reference.

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K

     a. Exhibits

          None.

     b. Reports on Form 8-K

          We filed a current report on Form 8-K, dated September 28, 2001,
     announcing that we changed our certifying accountants from Arthur Andersen
     LLP to PricewaterhouseCoopers LLP effective September 28, 2001.

                                        15
<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.

                                          EAST COAST POWER L.L.C.

Date: November 14, 2001                          /s/ JOHN L. HARRISON
                                          --------------------------------------
                                                     John L. Harrison
                                                  Vice President, Senior
                                                    Managing Director
                                              (Principal Financial Officer)

Date: November 14, 2001                         /s/ CECILIA T. HEILMANN
                                          --------------------------------------
                                                   Cecilia T. Heilmann
                                                 Vice President, Managing
                                                 Director and Controller
                                              (Principal Accounting Officer)

                                        16