I wish to create a compute engine instance with RHEL OS and then subscribe the instance with my license. Can I use my RHEL license for Compute Engine? If I can use my RHEL license, do I still need to pay for Premium image charges to Google?
You can bring your own RHEL subscription to Google Compute Engine with the help of Red Hat Cloud Access feature.
For more information, refer to the documentation, select the 'RHEL' tab mentioning "As an added benefit for subscribers of RH Enterprise products, Red Hat Cloud Access enables enterprise customers to migrate their current subscriptions for use on Google Compute Engine." and Red Hat Cloud access.