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Heat olive oil in skillet over medium heat. Add onion and peppers. Cook over medium heat for 4-5 minutes or until vegetables start browning on edges. Add ham and cook for another 1-2 minutes. Remove from heat, cover and keep warm.
Whisk eggs, egg whites and water,
Heat 1 tablespoon of butter in 8 inch non stick skillet over medium low heat. Add half the egg mixture to pan. Cover the pan and cook until the eggs set approximately 2-3 minutes. Add 1/4 cup cheese, turn off the burner and allow the cheese to melt. Add half the veggies and fold the omelette closed bringing one side over the other.
Repeat procedure with the rest of the egg mixture, cheese and veggies.