170 is a little on the light side for starting the V-Diet, but since you’re sporting classic signs of being an FFB (Former Fat Boy), then the V-Diet may help you break that cycle. FFBs, those who have lost a lot of fat, have a slightly different set of rules to go by, one of which is they can’t “bulk” like some men do or they’ll mainly just put on fat.
I’m also wondering if part of your problem is simply calorie intake. You wrote a lot about carbs and meal timing, but didn’t mention calories. And of course you can gain fat on clean foods if you eat too much of them. If that’s an issue, then the V-Diet may help you there too since it’s calorie-controlled.
What I’d like to see is for you to drop the excess fat, hold the leanness for a period of time, then experiment with a clean, calorie-controlled mass phase. I’m not that concerned with body weight or pounds lost, but rather body composition and inches lost around the waist/belly.
This should get you to your 165 powerlifting goal and keep you very lean. At 165, even if you’re on the shorter side, that should be all muscle. No reason for a 165’er to be carrying an ounce of excess fat.
All that aside, yes, a V-Diet should help you get strated on these goals with a bang.