Heat oven to 425°F. Line 15x10x1-inch baking pan with foil. Spray foil with nonstick cooking spray.
In medium saucepan, bring water, margarine, garlic powder, salt and pepper to a boil. Remove from heat; add milk. Stir in potato flakes, chives and egg until well blended.
Place salmon pieces skin side down in sprayed foil-lined pan. Top each piece with about 1/2 cup potatoes. Sprinkle with paprika.
Bake at 425°F. for 20 to 25 minutes or until fish flakes easily with fork.