This research examines occupants’ ability to detect lighting differences as a function of proximity to the illuminated area. By understanding how proximity influences light difference detection, energy-saving lighting design techniques can be developed that do not negatively impact the appearance of architectural interiors. The experiment examined vertical surface illumination, hypothesizing that vertical illuminance difference detection thresholds would increase with greater spatial separation from the observer, regardless of gaze conditions. Illuminance was selected as the accepted metric for assessing lighting, aligning with commonly used standards, such as the European Standard and the Australian/New Zealand Standard. Eighty participants viewed a 10.0 m × 2.4 m vertical wall with five sections using a five-alternative forced choice method to identify the dimmer section. Eight experimental conditions manipulated participant position and gaze, with each subject completing 10 trials for 20 lighting conditions. Participants’ ability to detect lighting differences was very poor for wall end portions, regardless of position or gaze. Results suggest vertical illuminance in temporarily unoccupied areas can be reduced by at least 10% without affecting perceived illumination quality. Greater reductions of 25% can be achieved in room corners. These findings provide a foundation for future research into illuminance optimization across all surfaces within architectural spaces.