Authorities in Chelyabinsk region in 2011 allocated a total of $1.1m from the regional budget on support of innovations, up 46.7% on 2010, news agency RIA Novosti reports citing regional officials.

State support was reportedly given to 50 companies and investors. Most of the funding – $900,000 – was spent on support of concrete innovation projects.

“Subsidies are aimed at redeeming part of expenses on purchasing, production of technological equipment and test samples, rent offices, payment for services on development of business-plans and marketing research, provided by outside organizations, payment of interest on loans, obtaining and maintenance of patents, and participation in congressional and exhibition events,” the officials said.

Specifically, the cluster of production and use of nano-diamonds, uniting five innovation companies from Chelyabinsk, Kopeysk and Snezhinsk, in 2011 received a total of $240,000. Over $63,000 was received from the partnership of innovation companies GRC-Vertical and Yuzhuralelectro from Chelyabinsk. The first company develops and makes wind power units, and the second company installs and services electronic management systems.

Ten small innovation companies, created on the bases of four Urals universities, got $160,000 in grants on realization of innovation projects, four companies got almost $63,000 each under the Start program of the Bortnik fund.

“Support of innovation companies in Chelyabinsk region grows every year. Amount of funding, raised from the federal budget on the co-finance basis, also increases. If last year federal finance totaled $565,000, this year it came up to $940,000, in 2012 we plan to raise at least $1.3m,” Elena Murzina, the regional minister of economic development of Chelyabinsk region, said.