Heat the olive oil in a large Dutch oven or saucepan (do not use cast iron or aluminum) over medium-high heat. Add the onions and carrots; sauté until the onions are translucent. Add the remaining ingredients and stir well.
Bring just to a boil, lower heat, and simmer uncovered for 30 minutes or until desired thickness.
Remove the bay leaf. Serve with your favorite pasta or polenta.