Dr Williams said law and religion needed to be debated
He told the Church of England's general synod he felt some remarks had been taken out of context, but he accepted he may have created misunderstanding.
He has faced calls to apologise for his comments, in which he implied adopting aspects of Sharia law was unavoidable.
Earlier PM Gordon Brown praised Dr Williams's "great integrity".
Dr Williams told clergy and lay people at the synod - the Church's governing body - he believed "some of what has been heard is a very long way indeed from what was actually said".