How to configure backup to use the less possible volume on destination ? Are you using the new Image Backup Format or the legacy format? In order to keep different versioning between cloud and local, you'll either need to use the legacy format and select different Retention policies for each:
1 - Cloud: Keep Number of Version to 1
2 - Local: Keep number of versions as needed
3 - Schedule: Recurring Advanced. Run the Full backup as needed. Run Block-Level Incremental in-between full backups.
The limitation here is that you cannot use Synthetic Full Backups as they are not supported for local backups, so every full image backup will have to run in it's entirety.
The better option is to use the New Backup Format which has better performance and built-in integrity and restore verification (if needed). You would create different backup plans for local and cloud (Hybrid Plans are not yet). For the cloud backup, we use synthetic fulls. You can schedule the Full to run something like once a month and incrementals daily. If you set retention to keep backups for 1 day, then the old backups will be removed when the new full is created (meaning, you'd have a full plus a month of incremental backups in storage, then the next full is created and the previous backup set would be removed at that time). If you set retention to keep backups for 1 month, then the previous backup set would not be removed until the send month was complete, meaning, you'd have 2 full months in storage for a while.
Can I ask in what region you are located? If cloud costs are a concern, there are low-cost cloud storage options that might work for you (depending on where you are located).