Hello Ben,
You are right, storage volume once increased, you cannot decrease it. Usually, this happens with increased usage, when you have automatic storage increases enabled. Once a higher volume used, it is also likely it is going to be used again, so decreasing allocated storage in not likely to result in final savings.
It is in fact possible to reduce disc volume upon request; this is a one-time lengthy operation that attracts downtime, so your instance is expected to be off-line for a while.
If you would like to have your disc volume reduced, you are encouraged to either use your support package to contact Cloud Support, or open an issue with similar contents in the
Public Issue Tracker.
This discussion group is oriented more towards general opinions, trends and issues of general nature touching App Engine and Cloud SQL. For coding and programming architecture, database administration, etc., you may be better served in dedicated forums such as stackoverflow, where experienced programmers are within reach and ready to help.