Energy Secretary Ed Davey has said that the decision to reduce subsidies was driven by the falling costs of generating onshore and solar energy, and not political pressure.
He told ITV News: "Because of our investments in renewable energy, we are seeing the costs fall ... It means we can still develop onshore wind, still develop solar, but it means we can also bring on some of the technologies for the next decade like offshore wind".
Rural wind farms have been a source of coalition tension, with many senior Conservatives staunchly opposed to the turbines, which Liberal Democrats say are needed to meet environmental objectives.
Danny Alexander has insisted that onshore wind energy will continue to play "a big role" in the UK, despite the decision to reduce Government subsidies in this area.
The Liberal Democrat Chief Secretary to the Treasury said state help for onshore wind and solar was being reduced "slightly" in favour of offshore wind.
But he told BBC Radio 4's Today programme that the move would present better "value for money" and could open the way for an extra 10 gigawatts of energy by 2020.
The "strike prices" for renewable energy - the amount of subsidy the taxpayer pays to entice investors to make long-term commitments - is already set well above the current market value, but will be slightly lower for onshore wind and solar.
The process known as anaerobic digestion could create enough biogas from green waste and purpose-grown crops to power more than 2.5 million UK homes by 2020, the study from think tank CentreForum suggested.
But barriers to increasing energy from anaerobic digestion need to be removed if the technology is to be scaled up significantly from current levels where it produces enough energy to power 300,000 homes, the report found.