Preheat the oven to 350 degrees.
In a large skillet, heat the olive oil over medium heat and add the potatoes. Season with salt and pepper to taste. Cook, stirring occasionally.
Meanwhile, in a small saucepan, heat the milk until it's gently simmering. Remove from the heat and stir in the garlic powder, paprika, and 1 cup of the grated cheese. Stir until the cheese is melted and the mixture is smooth.
Pour the milk mixture over the potatoes and gently stir and lift the potatoes to incorporate the sauce. Top with the remaining 1 cup cheese and bake for 20-25 minutes or until the cheese is melted and everything is bubbly. Let cool a few minutes before serving.