Cut the Yukon Gold potatoes into 1/2-inch cubes, then poke several holes in each piece with a fork or small knife to help them cook evenly. Microwave the potatoes on high for 3-4 minutes until they're just barely tender but still firm enough to hold their shape—they'll finish cooking on the grill. This head start ensures the potatoes will be creamy inside while developing a nice texture on the grill.
While the potatoes microwave, cook the bacon slices until they're crispy and rendered, then drain on paper towels and crumble into bite-sized pieces once cool. Meanwhile, combine the salt, black pepper, and garlic powder in a small bowl so your seasonings are ready to layer. I find having everything prepped before grilling keeps the assembly moving smoothly.
Preheat your grill to 350°F. Tear off a large piece of heavy-duty foil and oil it generously, or place an oiled grill pan on the grates if you prefer. The oil prevents sticking and helps the potatoes develop a light golden exterior while the cheese melts.
Spread about one-third of the parcooked potatoes from Step 1 onto the oiled foil or grill pan, then sprinkle with one-third of the seasoning mixture from Step 2, one-third of the crumbled bacon from Step 2, and about 1/3 cup of shredded cheddar. Repeat this layering twice more, ending with a layer of cheese on top. I like to use Kerrygold Aged Cheddar because it melts beautifully and adds a rich flavor to every bite.
Fold the foil up around the potatoes to create a packet with an open top, or cover the grill pan loosely with foil. Grill for 10-20 minutes, stirring occasionally, until the cheese is completely melted and the potatoes have a light golden-brown crust and are tender throughout. The timing depends on your grill's heat distribution, so check after 10 minutes.
Remove the foil packet or pan from the grill carefully—it will be very hot. Transfer the cheesy bacon potatoes to a serving dish or bowl and immediately top with the sliced green onions and fresh parsley. The heat will slightly wilt the green onions while adding a fresh, bright finish to this rich dish.