It is the country's first "urban" energy storage system, according to ABB.
The lithion-ion based battery energy storage system is able to supply 60 households with electricity for 24 hours. The system was installed in the harbour area of northern Copenhagen, Nordhavn.
It is able to perform a number renewable-integrating services to the grid, including peak-load shaving and frequency response, ABB said.
It was developed by Radius, the electrical grid division of Danish wind developer and utility Dong Energy.
"By integrating battery storage in Nordhavn we have the opportunity to learn more about how new technological solutions and market mechanisms interact with the grid," said Radius chairman Knud Pedersen.
"I expect, that battery technology, on the longer horizon, holds the potential to reduce the load on the grid and make it run more cost-efficiently," Pedersen added.
The project forms part of a wider four-year initiative, "EnergyLab Nordhavn", to research future energy solutions.
"It uses Nordhavn as an urban living laboratory and demonstrates how electricity, district heating, energy-efficient solutions and electrical transport can be combined into an intelligent, flexible and highly-optimised energy system," ABB said.
Project partners include the Technical University of Denmark, HOFOR, Radius and ABB with funding from the Danish Energy Agency.
