Heat the bacon in a skillet over medium heat. Cook until crispy and the fat is rendered, then remove with a slotted spoon and place on a paper towel to drain the excess grease.
Preheat your grill to the highest heat. Let it heat for at least 15 minutes – it should read over 500 degrees F.
While the grill is heating, layer two sheets of foil. Fold up the edges (you can see this is in my photos above!) to create a barrier of sorts. Place the potatoes in the foil pack and drizzle on the olive oil. Sprinkle on a big pinch of salt, pepper and the garlic powder. Toss well, coating every potato. I place the foil pack on a baking sheet so it’s easy to transport out to the grill.
Place the foil pack on the grill (do not cover the top with foil) and close the grill. As a personal preference, I like most of the potatoes to start cut-side down so they get crisp on that flat edge. Grill for 15 to 20 minutes, tossing every five minutes or so, until the potatoes are fork tender and getting a bit crisp.
Once the potatoes are tender, sprinkle on the cheddar and cover the grill for 1 to 2 minutes. Transfer the foil pack back to the baking sheet.
Top with the crispy bacon, jalapenos and green onions. Serve immediately with the guacamole!