There is a historically formed trend that enterprises producing and processing uranium are strategically important for the national security of the former Soviet Union. These enterprises were located in geographically remote areas and also were town-forming ones. Around these enterprises, the towns with well-developed autonomous infrastructure including all aspect of comprehensive human life: schools, hospitals, parks, kindergartens, sport stadiums, houses of culture, food stores, and others were designed and constructed. During the period of dissolution of the Soviet Union and formation of the independent states, the uranium industry experienced a significant crisis of its development: reduced rates of production, processing and product sales. This fact has influenced the social sector of the towns where the uranium industry enterprises were located. Funds for development and maintenance of current activities of social facilities were appropriated on the basis of the residual principle. These trends were resulted in the crisis of social sector management caused reduced volumes and quality of services provided to the population, dissolution of a number of operating facilities of the social infrastructure or suspension of their construction.
The revival of the uranium sector in Kazakhstan beginning from 1998 was facilitated by a support to the social sector; however, the residual principle of funding was maintained till 2004. In the context of implementation of large-scale strategic plans of the management of the “Kazatomprom” National Atomic Company, the sector was restructured in order to reduce costs and optimize the management system. Industry-nonspecific activities were excluded from the structure of the enterprises, including the social sector management as well. The restructuring has resulted in forming a holding structure facilitating a differentiated development of the social sector. Thus, a special company to manage social facilities – Kazatomprom-Damu– legally registered on 27th September 2004 was established.
Kazatomprom-Damu is the subsidiary of the "National Atomic Company "Kazatomprom" forming the main directions of activities of the Company by sequential delegation of liability for solving social tasks in the uranium-mining regions and appropriating the required material, financial and human resources to it. The main financing source of the Social Company is the authorized fund formed by the "National Atomic Company “Kazatomprom” and its foreign partners.
The Company's mission reflects our striving for providing the modern level of life quality in all aspects of the social sector in the uranium-mining regions of the Republic of Kazakhstan.
Slogan of the "Kazatomprom-Damu" Company – "Changing life for the better!"
The Goal of the Company's activities is to improve in welfare and life quality of the citizens of the Republic of Kazakhstan.
The main tasks are development of the social sector in the regions of uranium business by implementing and rendering of the services of social nature to the local population, and creation of adequate living conditions for the population.
The priorities of the Kazatomprom-Damu`s activities are: restoration and development of the social infrastructure, creation and equipping of the facilities under the social program in the uranium-mining regions, and development of small and medium-sized businesses forming the basis of any national economy.
At present, the activities of the Social Company are carried out in two Regions: the Southern Kazakhstan (Suzak, Otrar, Baidibek Districts) and Kyzylorda (Shieli and Zhanakorgan Districts) ones. The mines located there provide 90% of the uranium production in Kazakhstan. An individual social program has been developed for every District, and it is fully funded by the Company. Now, Kazatomprom-Damu implements its projects in 10 residential areas, i.e. the following settlements: Taukent, Shieli (Kokshoky Microdistrict), Kyzemshek, Sholakkorgan, Shayan, Timur, Shaulder, Zhartytobe, Kylti, Basbulak.
It important to note, the population of the first three settlements is over 14 thousand, of which: 5 000 – children, 5 025 – employed population, including 4 020 employees who work for the Kazatomprom enterprises.
In 2006, the "Memorandum’s on cooperation, support, and development of social sector" was concluded between the "National Atomic Company "Kazatomprom" Joint Stock Company and the Akimates of the Southern Kazakhstan and Kyzylorda Regions.
At present, Kazatomprom-Demeu has launched a long list of social projects. Over 55 projects have been completed – medical complexes, schools, kindergartens, cultural-and-sport and entertainment centers, projects of small and medium-sized businesses, land improvement and greenery planting, and others.
All the facilities of the social sector in the settlements of Taukent, Shieli and Kyzemshek are maintained by Kazatomprom-Damu. At the same time, we care of both our mines and all the people living in town-forming residential areas, and many services are rendered on the free-of-charge basis.
At the same time, "National Atomic Company "Kazatomprom" can not provide a job to all people living in the uranium-mining settlements; as a result, the Company has begun to implement the program of increase in life quality in the regions, and it creates an appropriate potential for their further successful development with an active support to local businessmen in forming their own businesses. For this purpose, the business incubators are opened in three uranium-mining settlements.
For the period from 2005 through 2009, Kazatomprom-Damu has implemented the projects amounting to over 14.1 bln.tenge.
In 2008, Kazatomprom participated in the All-Kazakhstan Contest on social liability of businesses “Paryz” established by the Decree of the President of the Republic of Kazakhstan. Under the Contest results, the “Kazatomprom - Damu” LLP was the winner in the nomination of the “Best Social Project”. In 2009, at participation in “Altyn Zhurek” national contest, “Kazatomprom-Damu” LLP was the winner of the 1st prize in the nomination of the “Organization of the Year” occupying a stable position among the leaders in the area of social liability of businesses and gaining the acknowledgement of the state.