Mix the thick yogurt with lemon juice, cumin, coriander, turmeric, garam masala, smoked paprika, and oil in a bowl to create a flavorful marinade.
Place the paneer blocks in the marinade, turning gently to coat all sides thoroughly. Cover and refrigerate for at least 1 hour, or up to 4 hours for deeper flavor.
Preheat your grill or broiler to medium-high heat. While heating, slice the bell pepper and onion into strips and toss them with a little oil and salt.
Thread the marinated paneer blocks, bell pepper, and onion slices onto metal or soaked wooden skewers, alternating for color and texture.
Brush the skewers with a little oil to help with charring and prevent sticking. Place them on the grill or under the broiler, and cook for about 8-10 minutes, turning occasionally.
Look for a smoky char forming on the edges of the paneer and vegetables, and listen for the crackle of the grill. Once the paneer is golden and slightly charred, remove the skewers from heat.
Squeeze fresh lemon over the hot skewers and sprinkle with chopped cilantro for a bright, fresh finish. Serve immediately to enjoy the smoky, tender paneer with caramelized veggies.