Preheat oven to 350 degrees F (175 degrees C). Grease a 9x12-inch baking pan.
Heat oil in a large skillet over medium heat. Add hash browns and onion; cook and stir until hash browns are crispy, about 10 minutes.
Place bacon in a separate skillet and cook over medium-high heat, turning occasionally, until evenly browned, about 10 minutes. Drain bacon slices on paper towels. Crumble into smaller pieces.
Layer hash brown-onion mixture, bacon pieces, 1 1/2 cup Cheddar cheese, and green chile peppers in the bottom of the prepared baking pan. Crack eggs, one at a time, on top. Sprinkle remaining 1/2 cup Cheddar cheese over eggs.
Bake in the preheated oven until eggs are firm and cheese starts to brown, 20 to 30 minutes. Serve with flour tortillas.