In heavy skillet bring water to boiling; add carrots. Return to boiling; reduce heat. Simmer, covered, 8 to 10 minutes, until carrots are tender; drain carrots, pat dry.
For glaze, in skillet stir butter, honey, lemon peel, red pepper, and 1/2 teaspoon salt over medium heat until butter is melted and glaze bubbles. Add carrots; toss 2 minutes. In serving bowl drizzle carrots with glaze, sprinkle additional red pepper. Makes 12 servings.