Yes that is currently the case. It's mentioned here in the known 
issues<https://code.google.com/p/appengine-gcs-client/wiki/KnownIssues>section.
We consider this a problem and are working on it.

On Wednesday, January 30, 2013 5:07:40 PM UTC-8, Mac wrote:
>
> Currently using the file API, the traffic between cloud storage and app 
> engine is free. So when app engine serves
> the file retrieved, that's the only bandwidth cost.
>
> in this new system, if app engine retrieves the file using urlFetch, 
> doesn't that mean we pay twice? once from cloud storage serving the file to 
> appengine's urlFtech, and once again when the appengine serves the file to 
> public?
>
>
> On Tue, Jan 29, 2013 at 5:15 PM, Tom Kaitchuck 
> <tkait...@google.com<javascript:>
> > wrote:
>
>> *Greetings,
>>
>> We’ve been hard at work on improving access to Google Cloud Storage from 
>> App Engine, and today we’re making the first version of our new Google 
>> Cloud Storage Client Library for App Engine available for developers to 
>> test. This client library contains much of the functionality available in 
>> the Files API, but provides key stability improvements and a better overall 
>> developer experience.  In the upcoming months we’ll continue to make 
>> improvements with the goal of making this library the preferred way of 
>> accessing Google Cloud Storage from App Engine.
>>
>> To get started, check out our documentation at 
>> https://code.google.com/p/appengine-gcs-client/.
>>
>> If you have any questions, comments or feedback please feel free to file 
>> bugs or feature requests at 
>> https://code.google.com/p/appengine-gcs-client/issues/list. 
>>
>> Thanks for your continued support of App Engine, we look forward to your 
>> feedback!
>>
>> Regards,
>> Tom, on behalf of the Google App Engine Team*
>>
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>
>
>
> -- 
> Omnem crede diem tibi diluxisse supremum. 
>

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