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1. In small skillet over medium heat, cook bacon until crispy; transfer to paper towel to drain.
2. Pour off all but 2 teaspoons fat from skillet and return to medium-low heat; add onions and sugar and cook slowly, stirring often, for about 10 minutes or until onions are tender, translucent and deeply colored.
3. Transfer onions to small bowl. Chop or crumble bacon and add to onions, along with yogurt; stir everything together and season with salt and pepper. Use right away or cover and refrigerate for up to 3 days.