Prepare the Sauce: In a small mixing bowl, whisk together the peanut butter, honey, sambal oelek, soy sauce, minced garlic, and water until smooth and creamy. Adjust the sambal oelek for more or less heat based on your spice preference. Set the sauce aside.

Cook the Chicken: Heat 1 tablespoon of vegetable oil in a large skillet or wok over medium-high heat. Add the cubed chicken breast to the skillet and season lightly with salt and pepper. Cook the chicken for 6–8 minutes, stirring occasionally, until it is fully cooked and golden brown on the outside. Remove the chicken from the skillet and set it aside.

Sauté the Peppers: In the same skillet, add the sliced red bell peppers. Cook for 3–4 minutes, stirring frequently, until they are tender but still crisp.

Combine and Coat: Return the cooked chicken to the skillet with the red bell peppers. Pour the prepared peanut sauce over the chicken and peppers, stirring to ensure everything is evenly coated in the sauce. Cook for another 2–3 minutes until the sauce is heated through and slightly thickened.

Serve and Garnish: Remove from heat and serve immediately over steamed rice, noodles, or on its own. Garnish with chopped peanuts and green onions for added crunch and flavor, if desired.