FWIW, in these situations you're better off proposing:
"I'm going to reuse this VM, to help our ... fleet scale better."
That way your management continues to use their allocated budget, and your real prod systems work slightly better (also will eventually require less additional $ to scale up - helping the company i.e. shareholders).
The thing to remember:
You would assume all middle management really manages are a top line and a bottom line. Numbers related to their KPIs/OKRs are roughly a top line, and numbers related to their resources (humans and cloud infra budget) are roughly their bottom line.
The reality: Middle management's resources (humans and cloud infra budget) are not their bottom line. Middle management gets rewarded (promoted) when they have "enough scope", scope has roughly always been defined by number of people (it now also includes things like cloud cost budget). As such middle management has to say "we need to do more with less", but they are promoted based on these numbers going up!
Is this reward structure in the best interest of companies (i.e. customers and/or shareholders)? No, neither. Is there a better system? Not yet. Is the reward structure created by middle management for middle management? Likely.
So in the meanwhile, if you don't want to become unmotivated, might as well work within the current reward structures.