Same with chemlights etc.

Unfortunately yes. I've checked this moment back in 2013, first days after release. For me this is really very important thing for deep immersion.
For example you can create a fireplace on the wharf in Svetlojarsk but you can't see it burning from another side of the coast.

+1

It doesn't even need to illuminate. Just make it visible.

Hello f3cuk and thank you for the report.
Lightning dissappearing at certain distances is as designed due to the performance. This may be changed with the future changes to the game.
Regards,
Geez