Caramelize Onions: Melt butter in a large skillet over medium heat. Add sliced onions, sugar, and salt. Cook until onions are deep golden brown and caramelized, about 20-30 minutes. If onions start to brown too quickly, lower heat to medium-low. If the pan gets dry, lower stovetop heat to medium-low and add 1 Tablespoon of water at a time to prevent burning. Stir often for even cooking.
Allow Onions To Cool: Transfer caramelized onions to a plate to cool slightly.
Mix Wet Ingredients: Meanwhile, in a medium-sized mixing bowl, mix together sour cream, mayonnaise, Worcestershire sauce, garlic powder, onion powder, and pepper until smooth.
Combine Dip: Add caramelized onions to sour cream mixture. Stir until well combined.
Chill Dip: Cover and refrigerate for at least 1 hour to allow flavors to meld.
Serve: Garnish with fresh chives, if desired. Serve with chips, crackers, or fresh vegetables.