I have seen tanks full blown SPS with 2-3 watts per gallon. I think one of the main problems is the reflector used and also how clear your water actually is.
If you have a tank with surface scum and one without, both running 5 watts per gallon, i can guarantee the one without surface scum will have more light. Which renders the watt per gallon thing pretty useless. choosing the right light depends on a number of important factors.