Place the oil and a few popcorn kernels in a 6-quart metal mixing bowl. Cover with heavy-duty aluminum foil and poke 10 slits in the top with a knife.
Place the bowl over medium-high heat and shake constantly using tongs to hold the bowl. Once the kernels pop, carefully add the remaining kernels, sugar, and salt.
Re-cover the bowl and return to medium high heat. Continue shaking constantly until the popcorn finishes popping, about 3 minutes.
Remove the bowl from the heat and carefully remove the foil. Stir in the chili powder. Cool for 5 minutes before devouring.