The company launched a joint venture with GLIL Infrastructure which is also investing £200 million.
The investment will allow companies to acquire a 12.5% stake in what is described as the “world’s largest” offshore wind farm.
The 1.2 GW Hornsea One Wind Farm is off the Yorkshire coast – it is estimated that its generation is enough to power more than a million homes.
The wind farm, operated by Ørsted features 174 wind turbines which are 190 metres tall, larger than the Gherkin building.
Stephen O’Neill, Nest’s Head of Private Markets commented: “Renewable energy sources have huge potential for long-term investors like Nest.
“Its desirability should only increase in the coming years and as the UK accelerates towards net zero we are confident Hornsea One will deliver inflation-beating returns and grow the money our members have invested.”
Zoisa North-Bond, Chief Executive Officer of Octopus Energy Generation, commented: “Harnessing the UK’s strong wind resources out at sea will help provide energy security and bring down energy bills.”