In reality light diminishes with distance, since the number of photons passing through spheres of varying radii centered at the light source is constant, but the surface of the spheres is proportional to the radius squared. So light intensity is inverse proportional to the square of the distance from the source.
By default povray does not take this into account, but by adding the keywords fade_distance D0 and fade_power E one can modify this behavior. The formula for the light intensity reaching an object with distance from the source with intensity is given by
Andreas Kriegl 2003-07-23