A method for installation of a pile adapted to support an offshore wind turbine in which the piles are transported horizontally, positioned in a pile holder, rotated to a vertical orientation while being held by the pile holder, and subsequently lowered into the water while being held by the pile holder. The installation vessel is in a floating condition, and the pile holder is compensated for wave-induced motion of the vessel to maintain a predetermined X-Y location independent of the wave-induced motion of the vessel. A pile holding system, a pile holder, and a vessel comprising a pile holding system are also disclosed.