Place potatoes in a saucepan and cover with water. Bring to a boil and cook until potatoes are fork tender. Remove from the saucepan and dice into 1 inch pieces.
In a large skillet, heat oil over medium heat. Add bacon and cook until crispy. Remove bacon with a slotted spoon and set aside. Add onions and peppers to the skillet and cook until soft, around 10 minutes. Stir in the potatoes , bacon, salt, pepper, and paprika, pressing the potatoes into the pan to make them extra crispy. Flip potatoes, and cook until desired crispiness.