COPENHAGEN, June 12 (Reuters) - Renewable energy group

Orsted will install a Tesla Megapack

battery storage system linked to Britain's Hornsea 3 offshore

wind farm, the Danish company said on Wednesday.

Energy storage is becoming increasingly important as

production of renewable energy rises, because the wind might not

blow or the sun shine during the peak hours when most consumers

turns on their lights and appliances.

"The battery will help ensure that renewable energy is used

in the best possible way by storing it when demand is lower and

then releasing it back into the system when it's really needed,"

Orsted's UK and Ireland chief Duncan Clark said in a statement.

This would help reduce price volatility for consumers by

making more power available, including during peak periods when

energy is traditionally more expensive, Orsted said.

The system, set to be operational by 2026, will be

co-located with the onshore converter station at Swardeston in

eastern England, and will have a capacity of 600 MWh, equivalent

to the daily energy usage of 80,000 UK homes.

Orsted did not disclose the size of the battery investment.