Let's begin with the preparation of Paneer Tikka. Soak the paneer in hot water for 20 to 30 minutes. This will make the paneer soft and moist.
Dice the red, yellow and green bell peppers into perfect cubes.
Dice the onions into cubes and by separating the petals.
Once the paneer is soaked well in water, drain the water and dice it in large square chunks. Make sure to keep the paneer thick and slightly big pieces as it tastes best this way in tikka and the gravy.
For making the marinade, take a large bowl and 4 tablespoons of thick curd or hung curd. Add all the dry spices mentioned in the Paneer Tikka Ingredient list. Mix well.
Now squeeze juice of half of a lemon, and add salt and pepper to taste.
First, add the paneer cubes to the marinade and coat well. The reason I am adding paneer first is because if we try to mix bell peppers and paneer together, paneer might break. Once the paneer is well coated, keep the paneer in a separate dish.
Next, add the diced bell peppers and onions to the marinade and mix well.
Now transfer the paneer and bell peppers together.
For adding smoke to the paneer, heat one small piece of coal over the flame directly till it is red hot.
Prepare a small aluminum foil cup and place it over the paneer. Now keep the heated coal over it and add 1 teaspoon of ghee. Cover with a lid immediately. Let the paneer smoke exactly for 1 minute. If the paneer is smoked for longer, it will be overpowered with smoky flavour.
Remove the lid. Let the paneer rest for 20 to 30 minutes.
Meanwhile, lets prepare the base for the gravy. Heat a kadai and add 2 tablespoons of oil. Add 2 chopped onions and add some salt and cook on medium flame till the onions are deep golden brown in colour.
Once the onions have turned brown, add 1 teaspoon of Ginger Garlic paste and mix. Add 4 to 5 chopped tomatoes and mix.
Cover with lid and let it cook for 7 to 8 minutes or till the tomatoes are soft. Let the onion and tomato mix cool completely.
Now blend this mix to a fine paste in a mixer grinder. The base for gravy is ready.
For grilling the paneer, use thick metal skewers which have square edges. Arrange the bell peppers, onion and paneer alternatively and pack tightly. Square edge skewers work best as the paneer won't rotate while grilling.
Grill the paneer over flame directly (one or two inches above flame) and keep rotating while grilling. Grill till there is some char on the edges.
Grill all the paneer skewers. Take the paneer out of the skewers carefully, by sliding the bell peppers. If you try to pull the paneer directly, it might break. Paneer tikka is ready.
To finish the gravy, heat 3 teaspoons of oil in a kadai and add 2 tablespoons of butter to it.
Keeping the flame low, add ½ teaspoon turmeric powder and 2 teaspoon Kashmiri Red Chilli powder. Mix well.
Now add the ground tomato and onion paste. Add ½ cup water and mix well. Bring to boil.
Add ½ cup water to the remaining marinade and add this to the gravy. Mix and cook till it comes to a gentle boil.
Next add crushed kasuri methi and a generous squeeze of honey.
To adjust the consistency, add ⅓ cup of full cream milk and bring to a gentle boil again.
Finally add 1 teaspoon garam masala and add all the grilled paneer and bell peppers. Mix and cook for 1 minute.
Garnish with fresh chopped coriander leaves. Paneer Tikka Masala is ready. Serve with Garlic Naan or bread of your choice.