| Turin the Mad |
Deception, especially by villains that are not laying all of their project image cards on the table right away.
Baiting the bad guys, such as using a lower-CL illusion on the outermost layer covering your nastier goodies waiting for overconfident bad guys to step into a trap.
You're not getting paid to use a higher CL (q.v., every NPC caster hired to cast certain spells, especially for item creation).
| Jeraa |
You want your fireball spell to kill the weak mooks, but not do as much damage to your allies that are also in the blast zone. So you cast at a lower level to deal enough damage to kill the enemy, while minimizing damage to allies.
There aren't many times you will want to cast at a lower caster level. The rules just give you the option to do so if you want.
When making magic items, you use a lower caster level to save money.