The Majid Al Futtaim group (MAF) and Dalkia International have set up a joint venture to create a new energy and facilities management company to service the Middle East.

Initially, the joint venture, MAF Dalkia Middle East, will provide energy and facility management services to Majid Al Futtaim's large shopping centres, but the aim is to expand the business across the Middle East and provide these services to owners of major real estate assets.

Dalkia International is one of the leading integrated energy and facilities management companies in the world with over 65,000 contracts in 29 countries.

The chairman of MAF Dalkia and CEO of Majid Al Futtaim's property group, Peter Walichnowski, said that the joint venture is an important step towards reducing the operating costs within MAF's real estate portfolio as well as taking a proactive approach towards conserving resources and protecting the environment.

"Energy management will become a critical issue in the Middle East as the cost and environmental impact of fuelling significant economic growth increases over the coming years and through this joint venture we can help owners of real estate implement international best practice in the design and conservation of energy".

MAF Dalkia has also been commissioned to design and manage a leading-edge energy system such as trigeneration in MAF's Souk Al Nakheel shopping, entertainment and leisure project. This 2 million sq ft scheme, which will feature a winter playground with a huge ski slope, is under construction at Junction 4 on the Sheikh Zayed Road and will open in 2005.