Getting data capacity error when setting up Incremental Refresh

Hi, I have a data set that was originally ~800 MB. After setting up parameters and incremental refresh, this dataset dropped to 25 MB. After i set up the incremental refresh in PBI desktop, I uploaded the dashboard to the pbi online service and that went okay. However, when I go to refresh the data so i can get the "archived/historical" data I get the following error:

• Data source errorResource Governing: This operation was canceled because there wasn’t enough memory to finish running it. Either increase the memory of the Premium capacity where this dataset is hosted or reduce the memory footprint of your dataset by doing things like limiting the amount of imported data. More details: consumed memory 5051 MB, memory limit 5051 MB, database size before command execution 68 MB.

I have looked through power bi communities that have been asked the same question but there doesn't seem to be a resolution. Can someone please explain to me what this error means and what I need to do to fix this? Is it saying that my power bi workspace does not have enough space? If so, that doesn't make sense to me. I was previously able to refresh my entire 800 MB dashboard in pbi desktop and publish it to the workspace without and data capacity issues. Why am I now having issues refreshing the incrementally set up dashboard in the pbi service? The only reason I want to set up an incremental refresh is to speed up the refresh time. Based on other similar posts I am seeing online, it does not seem like my dashboard is as large in comparison. 

Note: Have/using power bi pro license