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Dimmer Switch

Every dimmer switch has a minimum load. In order for a dimmer switch to dim, a certain amount of wattage needs to be available.

For example:

Halogen Downlighters

CFL Downlighters

A room containing 10 X 50W halogen downlighters.
The total wattage = 10 X 50W = 500W
(plenty of wattage to allow your lights to dim).

If you replace each of these with a 7W CFL downlighter,
the total wattage is reduced to 10 X 7W = 70W
(way below your 100W minimum load requirement), which is why these lights will not dim.