I am unable to create new directory for plugin updates. This seems to be because of disk space shortage. I am alloted 512 MB disk space. Can it be increased?
Keep in mind that most space increases are denied because users either have backups of their website on their account or there are a lot of files in the trash or email trash taking up space.
I have increased the available diskspace. I also took into consideration that you likely got assigned 1gb when you first signed up since the account has a few years of age.