I turned off ambient light completely and the light highlights were still on the wrong side, here's some relevant code and attached is the entire project (requires BBB GUI from WIP and matrix1utils, and newton):
SYNC ON
SYNC RATE 60
Color Backdrop 0 : Clear Camera View 0
`BackDrop Off
POSITION LIGHT 0, 1000,100,0
SET POINT LIGHT 0, 0,0,0
`POINT LIGHT 0, 0,0,0
SET AMBIENT LIGHT 80
TYPE environment
sun_object_number AS INTEGER
sun_image_number AS INTEGER
sky_object_number AS INTEGER
sky_image_number AS INTEGER
ENDTYPE
environment AS environment
environment.sun_object_number = FIND FREE OBJECT()
MAKE OBJECT PLAIN environment.sun_object_number,100,100
POSITION OBJECT environment.sun_object_number,1000,100,0
environment.sun_image_number = FIND FREE IMAGE()
LOAD IMAGE "data/sun.tga",environment.sun_image_number
TEXTURE OBJECT environment.sun_object_number,environment.sun_image_number
SET OBJECT TRANSPARENCY environment.sun_object_number,4
SET OBJECT LIGHT environment.sun_object_number, 0