Clean the paneling with dish-washing detergent and warm water to remove wax, oil and surface dirt. Rinse it thoroughly and allow it to dry.
Sand the paneling with 180-grit sandpaper, working with the grain of the wood.
Choose a gel stain in a lighter color than your paneling. Most gel stains are available in tint bases, and can be tinted to almost any color you desire, according to Paint Pro magazine.
Apply the gel stain as directed on the product label. Typically gel stain is applied liberally with a rag or natural bristle brush.
Wipe the excess stain away with a clean rag or sponge. Use wood graining tools (available at some paint stores and most craft stores) for a faux wood grain effect. Allow the stain to dry for eight to 10 hours.
Apply another coat of stain if you want it to look even lighter. If one coat gives you the effect you like, seal the stained paneling with two or three coats of varnish, sanding lightly between each coat.
Prepare the paneling by cleaning and sanding it as outlined in the first section.
Purchase varnish stain, mix your own or ask a paint store to mix it for you. Varnish stain is simply oil-based varnish with transparent colorant added. Acceptable colorants are oil-based artist paints, universal colorants or oil-based stain. Applying light varnish stain over dark paneling will give you a whitewashed effect.
Brush at least two coats of the varnish stain onto the paneling, working with the grain of the wood and sanding lightly with 180-grit sandpaper in between coats. Use a 3- or 4-inch natural bristle brush.